In perfect competition?
AShort run abnormal profits are competed away by firms entering the industry
BShort run abnormal profits are completed away by firms leaving the industry
CShort run abnormal profits are competed away by greater advertising
DShort run abnormal profits are competed away by the government
Correct answer
A. Short run abnormal profits are competed away by firms entering the industry
Explanation
The correct answer is Short run abnormal profits are competed away by firms entering the industry.