Q: What are the assumptions of a perfectly competitive market. List them and explain each of them with…
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A: b) The long-run average total cost curve (LRATC) is U shaped curve because of the dependency on the…
Q: Can excess profit be earned in this industry in the long run?
A: Excess profit means an amount of profit which is higher than the total cost incurred in production.
Q: How is it possible for perfectly competitive firms to maximize profit in the short run versus in the…
A: Perfect competition: Under the perfect competition market, the price is decided by the demand and…
Q: Why will losses for firms in a perfectly competitive industry tend to vanish in the long run?
A: A perfectly-competitive(PC) market is one where there are infinite number of buyers & sellers…
Q: Use the following graph to answer the next question. MC ATC AVC 1.25 1.05 .90 .80 .65 .60 15 20 35…
A: Given: Market price = $1.25 Output produced at this price = 20 units ATC corresponding to this…
Q: What two lines determine whether a firm is making positive or negative or zero profits?
A: Introduction The perfect competitive firm only needs to decide on one thing: how much to make. To…
Q: When will a firm enter a competitive market?
A: Perfect competition refers to the situation where there are large number of prouder and consumers…
Q: A) How does a competitive firm determine its profit-maximizing level of output? Explain.
A: In perfect competition, firms accept the market price that determined by the equilibrium between…
Q: What is the short run supply curve of a perfect competitive firm. Expalin using illustrations
A:
Q: What is the shape of the demand curve of a firm under perfect competition
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Q: What is the meaning of ''acceptable loss'' for a perfectly competitive firm? Draw a graph and…
A: Perfect competition refers to the type of market organization in which there are many buyers and…
Q: Using graph, explain when the firm maximizes its profit under perfect competition?
A: A perfect competition is a market where the firm has a control on quantity of goods to be produced…
Q: Why do profit maximizing firms always produce output at MC = MR? Draw graph and use example
A: A monopoly is a market structure where there are only one seller and many buyers. The seller has…
Q: In the long-run, a perfectly competitive firm will earn what kind of economic profit?
A: In the long run, a perfectly competitive firm will earn normal/zero economic profit.
Q: 1.(a) Explain with the help of a graph how a perfectly competitive firm determines its profit-…
A: The perfectly competitive market would result in large number of buyers and sellers in the market.…
Q: Graph the following for a perfectly competitive firm: A graph showing the area of economic profit…
A: The perfect competitive market is the market with large number of buyers a seller with symmetric and…
Q: Use the graph below to answer the following question: MC ATC Mdles APC Cope Cs Asigents 71 los CI…
A: For a perfectly competitive firm price are given.
Q: How does a perfectly competitive firm decide what price to charge?
A: Firms in a perfectly competitive market cannot influence the price as there are large numbers of…
Q: Q1. The graphs of the perfectly competitive market for eggs and an egg producer are the given below.…
A: Hi Student, Thanks or posting the question. As per the guideline, we are providing answer for the…
Q: What is meant by a competitive firm? Explain the difference between a firm’s revenue and its profit.…
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Q: How do you define 'profit
A: The main objective of the firm in whether competitive or imperfect competition market is Profit…
Q: How do perfectly competitive firms make output decisions. Discuss in detail.
A: In a perfectly competitive market structure there exists a large number of buyers and sellers of the…
Q: Does a competitive firm’s price equal its marginalcost in the short run, in the long run, or…
A: In perfectly competitive market there are many sellers as well as buyers. Price is given that means…
Q: Whe Should a firm close or shut down in a perfect competitive market or firm?
A: In a perfect competition, a firm thinks to shut down when it faces losses. That is, when Revenues…
Q: 08. Which of the following holds for a perfectly competitive firm that is in long-run competitive…
A: 08. Price is equal to marginal cost is long run competitive equilibrium condition of a perfectly…
Q: List the characteristics needed for a perfectly competitive market. Provide a simple explanation of…
A: A perfectly competitive market is the market in which there are lots of buyers and sellers, buying…
Q: what are the formulas? how do you complete the matching?
A: The income generated by a firm from total sales of goods and services is called total revenue…
Q: At the profit-maximizing output level, what will be the relationship between the perfectly…
A: Perfect competition: Perfect competition is a market structure where exists a large number of…
Q: What does that mean in terms of long-run profit?
A: Perfectly Competitive Market is the market in which buyers and sellers are large in numbers and they…
Q: Why are abnormal profits of a firm difficult to sustain?
A: The abnormal profits under perfectly competitive market are difficult to sustain because of the free…
Q: Briefly describe what the effect of producing a greater quantity of products will be in relation to…
A: Introduction A perfectly competitive firm simply has to make one fundamental decision: how much to…
Q: Suppose the book-printing industry is competitive and begins in long-run equilibrium. a. Draw a…
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Q: What is the meaning of " acceptable loss " for a perfectly competitive firm ? Drawa graph and…
A:
Q: What is the firms profit or loss?
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Q: Predict and explain the long run equilibrium of a firm operating in a perfectly competitive market?
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A: Since the market is perfectly competitive, the price of the product is set by the industry. Under…
Q: Why do firms, in the long run, continue to stay in the industry if they are earning 0 profits?
A: Answer - In the long run where the every input can vary and as in the long run where firms can make…
Q: A single firm in a perfectly competitive market is relatively small compared to the rest of the…
A: In the ‘perfect competition(PC)’ all firms sell ‘identical products’ that are homogeneous. Here all…
Q: What is the shape of the demand curve faced by the perfectly competitive firm? Explain your answer…
A: Perfect competition is the type of market structure in which there are many buyers and sellers of a…
Q: Consider the graph of a firm in a perfectly competitive market to answer the question below: MC 10…
A: Profit is maximized at a point where MR is equal to MC.
Q: Hi there. Can you plesse assist with the following question below Explain, with the aid of a graph,…
A: A perfectly competitive firm maximizes profit by producing output at a level where price equals…
Q: What does perfect competition mean and what are the concepts of it?
A: Perfect competition refers to the market structure featuring more number of sellers and buyers in…
Q: Prove that for a perfectly competitive firm, P = MR
A: Perfect competition- The market having a large number of buyers and sellers.
Q: -run equilibrium in a perfectly competitive market, firms earn positive economic profits. Is…
A: A perfect competition is where there is free market entry for the firms. If the firm earns profits…
Q: Hi there can you please help me to answer the following question 1. Explain, with the aid of a…
A: A perfectly competitive firm can either earn profit or incur a loss. The firm incurs two types of…
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- What is the meaning of ''acceptable loss'' for a perfectly competitive firm? Draw a graph and explain. please more detail.What is the meaning of " acceptable loss " for a perfectly competitive firm ? Drawa graph and explain.rded Use the following graph to answer the next question. A B C MC K ATC AVC D To maximize profits, the perfectly competitive firm should produce output at
- How do I know this graph shows a firm that is perfectly competitive? Which curve tells me it is?Can you create a graph showing perfect competition for grocery stores in a rural area ? And explain the graph?Hi there can you please help me to answer the following question 1. Explain, with the aid of a graph, the short-run position of a perfectly competitive firm making economic loss.
- Graphically depict a purely competitive firm in the short-run. You can have the firm making a profit or loss in the short-run. Brief explanation and graphs required.Question 8 Using the graph, at which quantity will the firm maximize its profits? MC CO Ob Ос Od b c ATC P= MR-ARWhat does acceptable loss mean for a competitive firm? Explain and Draw a graph
- Hi there. Can you plesse assist with the following question below Explain, with the aid of a graph, the short-run position of a perfectly competitive firm making economic loss.Graph the following for a perfectly competitive firm: A graph showing the area of economic profit or lossCould you explain what is the long run and short run of a firm in a market