A firm develops and markets consumer electronic devices in a perfectly competitive, decreasing-cost industry. The firm’s products have grown in popularity. The most likely equilibrium response in the...

A firm develops and markets consumer electronic devices in a perfectly competitive, decreasing-cost industry. The firm’s products have grown in popularity. The most likely equilibrium response in the long run to rising demand for such devices is for selling prices to:

A. fall and per-unit production costs to decrease.

B. rise and per-unit production costs to decrease.

C. remain constant and per-unit production costs to remain constant.