Discuss the long-term effects in a perfectly competitive market if an existing firm is making profits or losses Use graph (s) to illustrate your explanations. (
Q: 1. In a perfectly competitive market, the marginal : of the firms is horizontal. revenue curve
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: The Watts Brewing Company owns valuable water rights that allow it to produce better beer than…
A: Economic profit: The difference between the sales revenue and all input cost plus the opportunity…
Q: 25. This question refers to the figure below which shows the price, marginal cost, and average cost…
A: Following are the information extracted from the graph: Price = 20 Quantity produces at the level…
Q: Following figure shows the competitive market for platinium and a firm making production in this…
A: The perfect competition is the type of market structure where there are large number of buyers and…
Q: 8-2 Determine the perfectly competitive firm's profit-maximizing output in the short run (Short-Run…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: 3. Suppose you start a business of manufacturing computer software. company is a perfectly…
A: Given: The fixed cost = Tk. 60000 Total cost = Tk. 140000
Q: 14 If a perfectly competitive firm wants to make any sales, what is the basis for pricing its goods?…
A: 14. If a perfectly competitive firm wants to make any sales,the basis for pricing its goods would be…
Q: Question 3: Cost Table Question Complete the following short-run cost table for a perfectly…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: Please give an example of a market that comes close to being considered perfectly competitive. What…
A: DISCLAIMER “Since you have asked multiple question, we will solve the first question for you. If…
Q: 28.The following information is available for a company that operates in a perfectly competitive…
A: Here, the given table shows the cost and output information of a firm in the perfectly competitive…
Q: 2. The following tables give information about demand and total cost for two firms. In the short…
A: There is no express demand from the corporation. schedule. The price is presented in the 'Above a…
Q: below shows a perfectly competitive firm. What is the economic profit earned or loss incurred by the…
A: GIVEN the economic profit earned or loss incurred by the firm is
Q: 3. Suppose all firms in a competitive industry are operating at output levels for which P equals…
A: PLEASE FIND THE ANSWER BELOW. COMPETITIVE INDUSTRY: A competitive industry allows firms to freely…
Q: 1. A firm in a perfectly competitive industry has fixed costs of FC = 15, marginal costs of MC = 5+…
A: Perfect competitive industry FC = 15 MC = 5+14q AVC = 5+7q
Q: 1. Consider a profit-maximizing firm that manufactures bolts in a perfectly competitive market and…
A: Here, the given graph shows the price, quantity and cost curves of a bolt manufacturing firm, which…
Q: 3. In competitive markets economic profit becomes zero in the long-run. However, it is also possible…
A: In competitive markets,economic profits become zero in the long run but accounting profit can be…
Q: 3.8 On the following graph for a purely competitive industry, Scale 1 represents the short-run…
A: Short run Cost is the cost price that has immediate effects on the production processes, i.e., they…
Q: 1. Identify and explain the logic of the profit maximizing rule for pure competition. 2.…
A: competitive market is the form of market where competition is so high and there are large number of…
Q: Question 14 Explain the long run outcome of a competitive market structure starting with a typical…
A: A perfectly competitive market has a different scenario in the short-run and in the long-run.
Q: 25. Understand when firms in a perfectly competitive market will enter or exit an industry. Firms…
A: Perfectly competitive market: It is a market situation where there is a large number of buyers and…
Q:
A: the graph represents the revenue and cost curves of a monopoly. AR= demand/ average revenue curve MR…
Q: 5. (a) What do we mean by “price taker”? Explain why a firm in perfect competition is a price taker.…
A: A perfectly competitive market is a market in which there are many buyers and sellers selling an…
Q: 10. The diagram shows the price, marginal cost and average cost curves facing a perfectly…
A: The key characteristic of a perfect competition firm where the P=Demand = Marginal revenue or we can…
Q: Q8. Discuss the differences between short run VS long run Firm Supply in competitive market…
A:
Q: Explain, with the aid of a graph, the short-run position of a perfectly competitive firm making…
A: A perfectly competitive market structure is one in which there are a large number of buyers and…
Q: 40 The following cost data is for a firm which is selling in a perfectly competitive market It the…
A: In perfectly competitive market prices constant so it is equal to marginal revenue. Profit is…
Q: Question 49 A perfectly competitive firm does not have which of the following characteristics? A.…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Total Output Revenue Total Cost $ s0 35 74 2. 70 94 3. 105 117 4. 140 142 175 172 The table gives…
A: A purely competitive firm makes an economic profit when total revenue is greater than total cost. A…
Q: 3 examples of perfectly competitive markets and does these firms profit in long run or short run
A: Products and services are exchanged in different markets, such as competitive or anti-competitive.…
Q: 8. (The Short-Run Firm Supply Curve) Each of the following situations could exist for a perfectly…
A: A firm in a perfectly competitive market is one of the many small firms producing and supplying…
Q: 3. Explain under each of the situation, a firm working under a perfectly competitive market would…
A:
Q: 6. The following figure shows long-run average and marginal cost curves for a competitive firm. The…
A: The measure that depicts expenses being incurred by the entity for carrying out its day-to-day…
Q: Concept Question 3.21 Question Help The following table shows marginal and average total cost…
A:
Q: 13. The figure below represents the marginal cost of a small firm in a perfectly competitive market.…
A: 8) Looking at the utility function of the given people and the quantity purchased by Adele of x and…
Q: TABLE 8-1 Revenue and Cost Data for a Perfectly Competitive Firm Daily Output Price Total Revenue…
A:
Q: 8. Which of the following markets comes close to satisfying the assumptions of a perfectly…
A: # A perfectly competetive market structure is characterized by large number of buyers and sellers.…
Q: 37) In a perfectly competitive industry, the market price of the product is $15. Firm A is currently…
A: In a perfectly competitive industry the profit is calculated as: Profit =Total Revenue - Total Cost…
Q: 1.Explain how the long run differs from the short run in pure competition. 2. Explain how the entry…
A: Hi there! Thank you for the question. Since we only answer one question, we will answer the first…
Q: 1. Draw the cost curves for a typical firm. Explain how a competitive firm chooses the level of…
A: The typical cost functions are given in the next step.
Q: Goldbar is an energy bar firm selling in a perfectly competitive market but are considering the…
A: Perfect competitive market: It refers to the market under which various firms are selling goods and…
Q: The accompanying table represents the quantity produced, the total revenue, and the total cost of a…
A: Dear Student, as you have posted multiple questions but according to the policies and guidelines of…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- What would be evidence of serious competition between firms in an industry? Can you identify two highly competitive industries?3 Evaluate the demand curve of firms that operate in13.1. McDonald’s. Empirical evidence suggests that McDonald’s restaurants that are wholly owned by the parent company charge lower prices than do independent fran- chise ones. How can this difference be explained?
- Demand Schedule Assume MC = 0 Price Quantity $24 0 $22 1 $20 2 $18 3 $16 4 $14 5 $12 6 $10 7 $8 8 $6 9 $4 10 $2 11 $0 12 1. If the market is perfectly competitive, what will the market equilibrium price and quantity be in the long-term? Explain how you arrived at that answer. 2. If the market is a duopoly and the firms collude to maximize joint profits, what will market price and quantity be? Explain how you arrived at that answer. 3. If the market is a duopoly and the firms collude to maximize joint profits, what is each firm's total revenue if the firm split the market equally? Explain how you calculated that answer.PART C: MARKET ANALYSIS Pacesetter is a manufacturer of three-ring binders operating in a perfectly competitive industry. The Table below shows the firm's cost and revenue schedule Quantity (cases) Variable Cost Total Cost Marginal Cost Average Variable Cost Average Total Cost Total Revenue Profit (or Loss) 0 $0 $76 1 30 106 $40 2 50 3 134 4 140 5 160 6 114 7 150 8 190 9 316 PART C: MARKET ANALYSIS (i) Complete the Table above by filling in the blank cells. (ii) Based on the above Table, Pacesetter’s profit maximizing or loss minimizing level of output is __________; and the (profit is _________) or (loss is __________) (iii) Should the firm continue to…When a company has market power, it is _____ in its market? 1.Not able to impact market equilibrium price 2.One of many small companies 3.Not a price taker 4.A producer of non-differentiated products
- 3). DOORDASH How can Data Analytics Improve the advantages DoorDash has on the competition Include such economic ideas such as the Three Inputs we discuss, the Idea of R&D in this process What are two fixed costs for DoorDash and two Variable Costs? What are three Barriers to Entry that limit Perfect Competition in this industry? What are the Determinants of Supply in Economics and how do two of them relate to DoorDash?What is the competitive structure of the firms listed below and why? A retail store selling clothing. It’s popular in the United States and competes with many rivals and faces intense price competition.Ch 24 Economics If there are two firms Atlas and Bowden in this market with the same earlier total cost function of TC = 500 + 10Q^2 , demand function of P(q)= 220-10q and they engage in Cournot competition, what is each firm's equilibrium quantity, price, and profit? [NB: round quantities to nearest integer to find equilibrium quantity, price, and profit
- 30. Company Alpha produces its product in a perfectly competitive market that is in long-run equilibrium. What will happen if it lowers its price while increasing its output? It will increase revenue but increase costs by the same amount. It will incur economic losses. It will take business from its competitors, increasing its revenue and profit. It will begin to develop market power, making its market imperfectly competitive. Its producer surplus will increase but consumer surplus will decrease by a greater amount. 31. If barriers to entry ________ or product differentiation ________, competition in a market will ________. increase; increases; increase increase; decreases; increase decrease; increases; increase decrease; decreases; increase decrease; decreases; decreasePlease refer to the figure. When there are many identical companies in the market, the small business owner will take the market equilibrium price at $____ and its MR will be constant at $____ (Note: this is about a competitive market player) A) 2;2 B)3.5;3.5 C)4;4 D)6.5;6.5Table 17-9Only two firms, Acme and Pinnacle, sell a particular product. The table below shows the demand curve for their product. Each firm has the same constant marginal cost of $10 and zero fixed cost. Price Quantity Total Revenues 70 0 0 65 100 6500 60 200 12000 55 300 16500 50 400 20000 45 500 22500 40 600 24000 35 700 24500 30 800 24000 25 900 22500 20 1000 20000 15 1100 16500 10 1200 12000 5 1300 6500 0 1400 0 Refer to Table 17-9. If Acme and Pinnacle operate to jointly maximize profits and agree to share the profit equally, then how much profit will each of them earn? Group of answer choices $9,000 $8,750 $8,000 $6,750