Long run equilibrium price

When Christmas tree farming is a decreasing cost industry and this firm is typical, in that case an increase in the market demand for Christmas trees will give in a long run equilibrium price: (1) greater than P₁. (2) less than P₂. (3) more than P₃ but less than P₂. (4) more than P4 but more than P₃. (5) less than P₄.

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