Answer Happy

Assume there are 1000 plumbers in the city of Leakytown. Some
plumbers are better than others, but all plumbers repair broken
pipes. Which of the following options is most likely to be true
according to economic theory?
a.
economic theory cannot predict how the price for the best
plumbers will compare to other prices in this scenario.
b.
The best plumbers will charge a price similar to the other
plumbers and will earn a normal economic profit.
c.
The best plumbers will charge a price significantly higher than
others, and they will increase their supply by doing so.
d.
The best plumbers will be able to charge significantly more to
repair a broken pipe and sustain a bigger economic profit in the
long run.