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NEW QUESTION: 1
When a market is in long-run equilibrium, then
A. the quantity demanded exceeds quantity supplied.
B. the price elasticity of demand for the good equals the price elasticity of supply for the good.
C. the opportunity cost of producing a good equals the market price of the good.
Answer: C
Explanation:
In order for long run equilibrium to hold, the amount supplied and the amount demanded in the market must be equal; additionally, the opportunity cost of producing the product must equal the market price.