Homework Answers
1. Ans: Firms will enter the market
Explanation:
At the price of P1, the existing firms are earning positive economic profit. So, new firms will be attracted by this positive profit and will enter into the market until all the firms earn zero economic profit.
2. Ans: An unrelenting squeeze on prices and profit.
3. Ans: demand and supply.
Explanation:
Under perfect competition, market price is determined by the intersection of demand and supply.
Add Answer to:
ATC Price (Per Unit) Price (Per Unit) D3 D2 91 92 93 94 Quantity (Units per...
Price, ATC, AVC, and MCE (per unit) P3 Pt 41 92 93 44 s Quantity (per...
Price, ATC, AVC, and MCE (per unit) P3 Pt 41 92 93 44 s Quantity (per period) a. The figure shows cost curves for a firm operating in a perfectly competitive market O is the AC_curve. N is the TC curve. M is the curve. Curve M must cross Curves N and O at their points. AFC is represented in this figure by the vertical distance between Curve-and Curve b. The figure shows cost curves for a firm operating in...
Figure: Profit Maximizing Price, ATC, AVC, and MC (per unit) 91 92 93 94 95 Quantity...
Figure: Profit Maximizing Price, ATC, AVC, and MC (per unit) 91 92 93 94 95 Quantity (per period) Reference: Ref 9-3 if the price in the competitive market is The optimal level of output will be O A. 91; P3 O B. 92; P4 O C. 93; P2 O D.O; P1 O E. None of the above
ATC en Price (per unit) в - Market Price P=MR В /С Quantity (units per week)...
ATC en Price (per unit) в - Market Price P=MR В /С Quantity (units per week) Figure 23.6 Refer to Figure 23.6 for a perfectly competitive firm. Assuming that points A, B, C and D are all above AVC, this firm will maximize profits by producing the level of output that corresponds to point 11). C A) A. B) B. CC. D) D.12) Refer to Figure 23.6 for a perfectly competitive firm. If this firm produces the level of output...
MC ATC Cost ($ per unit) ONWA0BB 9 10 Quantity The figure above gives the marginal...
MC ATC Cost ($ per unit) ONWA0BB 9 10 Quantity The figure above gives the marginal cost (MC) and average total cost (ATC) curves for a firm operating in a perfectly competitive market with a market price of $7. Use this figure to answer the questions below. a. What is the profit maximizing quantity of output? b. When profit is maximized, what is the economic profit?
QUESTION 39 Price and cost MC ATC AVC N O P MR Demand RSTU Quantity (per...
QUESTION 39 Price and cost MC ATC AVC N O P MR Demand RSTU Quantity (per period) The figure above shows different curves for a short-run monopolist. What is the profit-maximizing quantity level? OQ OR Os От Ου
Price and costs (dolars per uni) 25 20 เร 10 ATC 26 12 Quantity thousands of...
Price and costs (dolars per uni) 25 20 เร 10 ATC 26 12 Quantity thousands of units per hour) The figure above shows the market demand curve and the ATC curve for a firm. If all firms in the market have the same ATC curve, the lowest price at which a firm could stay in business in the long run is pnice isu per unit and the quantity demanded in the market at that units per hour. OA. $10:4,000 O...
МС ATC AVC 22 16 MR 12 11 17 19 14 Quantity (units) What is the...
МС ATC AVC 22 16 MR 12 11 17 19 14 Quantity (units) What is the shutdown price? What will the firm choose to do in the short-run? Explain why this is the best decision for the firm Explain how the entry or exit will occur in the market to ensure that firms earn zero economic profit in the long run? Clearly label the firm's supply curve. Price (dollars per unit)
Please answer both of the following questions: Price мC ATC AVC В A Quantity/Week Refer to...
Please answer both of the following questions:
Price мC ATC AVC В A Quantity/Week Refer to the above figure. The competitive firm's short run supply curve starts at B and goes along the ATC curve as quantity increases. starts at B and goes along the MC curve as quantity increases. starts at A and goes along the AVC curve as quantity increases. starts at A and goes along the MC curve as quantity increases. QUESTION 14 A market structure in...
Use the figure below to answer the following questions. Price and cost dollars per unit) 10...
Use the figure below to answer the following questions. Price and cost dollars per unit) 10 Quantity (units) Figure 12.4.1 3) Refer to Figure 12.4.1, which shows the cost curves and marginal revenue curve of a firm in a perfectly competitive market. In the long run, market A) demand will increase. B) demand will decrease. C) supply will increase. D) supply will decrease. E) supply and market demand will decrease. 4) Refer to Figure 12.4.1 which shows the cost curves...
QUESTION 3 MC ATC Price (per unit) в с Market Price PEMR Quantity (units per week)...
QUESTION 3 MC ATC Price (per unit) в с Market Price PEMR Quantity (units per week) Figure 23.6 Given the current market price, we expect to see Firms exit from the industry, driving up the market price. Firms exit from the industry, driving down the market price. No change in the number of firms in the industry and no change in the market price. Firms enter the industry, driving down the market price. Click Save and submit to save and...
Price, ATC, AVC, and MCE (per unit) P3 Pt 41 92 93 44 s Quantity (per period) a. The figure shows cost curves for a firm operating in a perfectly competitive market O is the AC_curve. N is the TC curve. M is the curve. Curve M must cross Curves N and O at their points. AFC is represented in this figure by the vertical distance between Curve-and Curve b. The figure shows cost curves for a firm operating in...
Figure: Profit Maximizing Price, ATC, AVC, and MC (per unit) 91 92 93 94 95 Quantity (per period) Reference: Ref 9-3 if the price in the competitive market is The optimal level of output will be O A. 91; P3 O B. 92; P4 O C. 93; P2 O D.O; P1 O E. None of the above
ATC en Price (per unit) в - Market Price P=MR В /С Quantity (units per week) Figure 23.6 Refer to Figure 23.6 for a perfectly competitive firm. Assuming that points A, B, C and D are all above AVC, this firm will maximize profits by producing the level of output that corresponds to point 11). C A) A. B) B. CC. D) D.12) Refer to Figure 23.6 for a perfectly competitive firm. If this firm produces the level of output...
MC ATC Cost ($ per unit) ONWA0BB 9 10 Quantity The figure above gives the marginal cost (MC) and average total cost (ATC) curves for a firm operating in a perfectly competitive market with a market price of $7. Use this figure to answer the questions below. a. What is the profit maximizing quantity of output? b. When profit is maximized, what is the economic profit?
QUESTION 39 Price and cost MC ATC AVC N O P MR Demand RSTU Quantity (per period) The figure above shows different curves for a short-run monopolist. What is the profit-maximizing quantity level? OQ OR Os От Ου
Price and costs (dolars per uni) 25 20 เร 10 ATC 26 12 Quantity thousands of units per hour) The figure above shows the market demand curve and the ATC curve for a firm. If all firms in the market have the same ATC curve, the lowest price at which a firm could stay in business in the long run is pnice isu per unit and the quantity demanded in the market at that units per hour. OA. $10:4,000 O...
МС ATC AVC 22 16 MR 12 11 17 19 14 Quantity (units) What is the shutdown price? What will the firm choose to do in the short-run? Explain why this is the best decision for the firm Explain how the entry or exit will occur in the market to ensure that firms earn zero economic profit in the long run? Clearly label the firm's supply curve. Price (dollars per unit)
Please answer both of the following questions:
Price мC ATC AVC В A Quantity/Week Refer to the above figure. The competitive firm's short run supply curve starts at B and goes along the ATC curve as quantity increases. starts at B and goes along the MC curve as quantity increases. starts at A and goes along the AVC curve as quantity increases. starts at A and goes along the MC curve as quantity increases. QUESTION 14 A market structure in...
Use the figure below to answer the following questions. Price and cost dollars per unit) 10 Quantity (units) Figure 12.4.1 3) Refer to Figure 12.4.1, which shows the cost curves and marginal revenue curve of a firm in a perfectly competitive market. In the long run, market A) demand will increase. B) demand will decrease. C) supply will increase. D) supply will decrease. E) supply and market demand will decrease. 4) Refer to Figure 12.4.1 which shows the cost curves...
QUESTION 3 MC ATC Price (per unit) в с Market Price PEMR Quantity (units per week) Figure 23.6 Given the current market price, we expect to see Firms exit from the industry, driving up the market price. Firms exit from the industry, driving down the market price. No change in the number of firms in the industry and no change in the market price. Firms enter the industry, driving down the market price. Click Save and submit to save and...
Most questions answered within 3 hours.
-
there is a function to create two random numbers between 1 and
25 and a function...
asked 10 minutes ago -
At a certain temperature, the ?pKp for the decomposition of
H2SH2S is 0.832.0.832.
H2S(g)↽−−⇀H2(g)+S(g)H2S(g)↽−−⇀H2(g)+S(g)
Initially, only...
asked 4 minutes ago -
Part 1.C&A Fast Food has four activities in serving a
customer: greet customer, take order, process...
asked 10 minutes ago -
Which attribute allows you to specify a custom "thumbnail" for
multimedia elements?
asked 49 minutes ago -
How much 0.1200 M sodium hydroxide solution is need to titrate
14 mL of a 0.100...
asked 24 minutes ago -
An impulse is a change in momentum usually over
a short time. For which of the...
asked 29 minutes ago -
1a)When a 5000-kg roller coaster train full of riders approaches
the loading dock at a speed...
asked 49 minutes ago -
The Poseidon Swim Company produces swim trunks. The average
selling price for one of their swim...
asked 44 minutes ago -
If the elasticity of supply of a good is ∞, then its
A. supply curve is...
asked 30 minutes ago -
Write an application for the Shady Rest Hotel; the program
determines the price of a room....
asked 35 minutes ago -
USE THE FOLLOWING INFORMATION TO ANSWER THE NEXT (6)
QUESTIONS:
The following is a December 31,...
asked 51 minutes ago -
Suppose you plan to invest $5,000 each year (beginning at the
end of this year) into...
asked 41 minutes ago