If the long-run market supply curve is perfectly elastic, a ...

[waynest]

If the long-run market supply curve is perfectly elastic, a decrease in variable cost will:
 a. shift the supply curve upward to a higher market-clearing price level.
  b. shift the supply curve downward to a lower market-clearing price level.
  c. shift the supply curve to the right to a higher market-clearing output.
  d. shift the supply curve to the left to a lower market-clearing output.

Question 2

If significant barriers to entry exist in a market, then the market is best described through the model of perfect competition.
 a. True
  b. False
  Indicate whether the statement is true or false

[Qarqy]

Answer to Question 1

B

Answer to Question 2

False

[waynest]

Excellent

[at]

Thanks for the timely response, appreciate it