Which of the following are true about the equilibrium of the Industry in long run under perfect competition?
A. The long-run supply and demand for the product of the industry should be in equilibrium
B. All firms in the industry should be in long run equilibrium by equating price with long-run marginal cost (P = LMC)
C. There should be tendency for the new firms to enter the industry, or for the existing firms to leave it
D. The firms are earning zero economic profits with price being equal to long-run minimum average cost (P = min. LAC)
E. The firms would not have adjusted their size of plants when there is long-run equilibrium (P = LMC)
Choose the correct answer from the options given below:
1
A, B & C only
2
C, D & E only
3
A, B & D only
4
B, C & D only