Explain the following statement in five sentences or fewer: “Under perfect competition, changes in price stemming...
D.Draw the demand curve for a firm under perfect competition. Would the demand curve change when market price changes? Explain.
Only THIS SIDE MONOPOLY Woreksiteet Hint: Under perfect competition price is fixed for a small producer and MR is the same as price. Under monopoly demand is down sloping and price changes at different quantities. Therefore under monopoly MR is no longer the same as price. You need to calculate it. MR equals change in TR divided by change in Q. TR is still the product of price multiplied by quantity and the rules of profit maximization are the same...
Discuss the four characteristics of perfect competition demand curve of a perfectly competitive firm is horizontal? price? B) Want to lower your price? Explain why or why not. change when market price changes? Explain. 3. A. B.Explain which of the four characteristics is primarily responsible for the fact that the C. If you owned a firm in a perfectly competitive market would you: A) Want to raise your D.Draw the demand curve for a firm under perfect competition. Would the...
When do firms decide to shut down production in the short run under perfect competition? Explain carefully. The market for bread in Brooklyn, NY is characterized by perfect competition. Firms and consumers are price takers and in the long run there is free entry and exit of firms in this industry. Illustrate with the help of a graph how the individual firm maximizes profit in the short run.
You will need to include both an industry (total market) and a firm (individual business) graph for each question. On the firm graphs, you will need to illustrate demand (d), marginal revenue (MR), marginal cost (MC), average variable cost (AVC), and average total cost (ATC). When you don’t have exact data for a curve, you can still create the curve in relationship to the other curves on the graph.Suppose five years from now that the ranching industry is in long-run...
can I get help please A firm under perfect competition has the following inverse demand function given by Q=210-3P and it costs $50 to provide an extra unit. (a) Write the equation representing the demand function (1 mark) (b) What is the firm's marginal revenue? (4 marks) (c) What is the profit maximizing quantity? (5 marks) Suppose the industry had only one firm faced with the demand curve faced in part (a) of question 3. How would output price and...
MR = 100 - 2q MC = 4 + 2q Under Perfect Competition EQ Price = 68 EQ Quantity = 32 CS = 512 PS = 1024 TW = 1536 Under Monopoly EQ Quantity = 24 EQ Price = 76 Now ... Calculate the Consumer Surplus, Producer Surplus and Welfare levels under monopoly. How much deadweight loss does the monopolist create? What could the government do to regulate the monopolist? Consider a situation where a monopolist faces the following inverse...
Recall that in perfect competition a firm’s demand curve is a horizontal line drawn at the market price level and that P=MR. With this in mind, based on the figure below, total costs are: Group of answer choices $720 $660 $576 $432 2. Refer to the graph below. Total profit is: Groupof answer choices $243 $144 $288 $132 3. Refer to the diagram below. Based on the information illustrated in this graph, which of the following is an accurate statement?...
Please explain the following in your own words: 1. Characteristics of Perfect Competition with an example 2. Difference between inelastic and elastic demand with examples 3. Effect of tax imposition on buyers and sellers 4. Consumer surplus and producer surplus with examples 5. Relationship between the tax size and tax revenue and tax size and deadweight loss Each response must be four full lines.
Please explain the following in your own words: Characteristics of Perfect Competition with an example Difference between inelastic and elastic demand with examples Affect of tax imposition on buyers and sellers Consumer surplus and producer surplus with examples Relationship between the tax size and tax revenue and tax size and deadweight loss Notes: Type all the answers in a word file and attach with your submission Each response must be four full lines