Suppose the price is currently at $15 in this competitive industry. We would expect that Price...

 

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Suppose the price is currently at $15 in this competitive industry. We would expect that Price Supply A Supply B SupplyC THE 250 300 400 $15 $10 $5 Entire Market Qty Demand S per unit Ony Single Representative Firm 25 30 35 MC ATC AVC Firms will enter until the supply curve for the market shifts from Supply A to Supply B. Firms will enter until the supply curve for the market shifts from Supply A to Supply C. Firms will exit until the supply curve for the market shifts from Supply C to Supply B. Firms will exit until the supply curve for the market shifts from Supply B to Supply A. Suppose the price is currently at $15 in this competitive industry. We would expect that Price Supply A Supply B SupplyC THE 250 300 400 $15 $10 $5 Entire Market Qty Demand S per unit Ony Single Representative Firm 25 30 35 MC ATC AVC Firms will enter until the supply curve for the market shifts from Supply A to Supply B. Firms will enter until the supply curve for the market shifts from Supply A to Supply C. Firms will exit until the supply curve for the market shifts from Supply C to Supply B. Firms will exit until the supply curve for the market shifts from Supply B to Supply A.

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