The equilibrium of a competitive industry is:   A neither efficient nor equitable   B equitable but not necessarily efficient   C efficient   D not always efficient

Q: Perfect competition is an extremely rare type of market in the real world. This is because the…

A: It refers to a market condition in which there are a large number of buyers and sellers that are…

Q: Consider the market for wheat which is a perfectly competitive market.  Is the market demand curve…

A: The term "perfect competition" refers to an ideal market arrangement. In a perfect competition…

Q: How does a competitive firm determine the quantity that maximizes profit?

A: The markets are considered to be of utmost importance for the economies, because it assists in the…

Q: Suppose the total cost of producing widgets can be described by Y=10X²+50X+100 where Y is the total…

A: Given: Total cost function (TC) y = 10x2 + 50x + 100 Competitive market The condition of equilibrium…

Q: The number of firms in an industry is not always a good indicator of the extent to which that…

A: The number of sellers in an industry determines the market share of the firm. A large number of…

Q: which of the following statements is incorrect? a) Price equals marginal cost. b) Firms are price…

A: Let us first analyse the type of market the question is talking about. From the first option, that…

Q: Imagine that you set up your own business. Assume that your firm produces a single product. Please…

A: Perfectly competitive market: It is the market where large number of buyers and sellers dealing in a…

Q: Why are perfectly competitive markets considered economically efficient?

A: There are several forms of the market that exists in the real world out of which perfect competition…

Q: Farmer Brown grows peaches in Georgia. Suppose the market for peaches is perfectly competitive and…

A: In a perfectly competitive firm there are large number of firms producing identical products.

Q: Roots Wholefoods sells fruit and vegetables in a perfectly competitive market. Which of these…

A: Given : Roots Wholefoods sells fruits and vegetables in a perfectly competitive market.

Q: Farmer Jones grown sugar. The total revenue, marginal revenue, total cost, and marginal cost of…

A: Answer: (1). Maximum profit for a perfectly competitive firm occurs where the marginal revenue is…

Q: f a competitive firm finds that its average variable cost is decreasing at its current profit…

A: A competitive firm is a firm that doing business in that market where the large number of buyers and…

Q: Which of the following conditions describe a perfectly competitive market?

A: Perfectly competitive market is a rare type of market which is difficult to find in the real…

Q: A perfectly competitive firm is currently producing an output level where price is $10.00, average…

A: A Perfectly competitive firm is a price taker and produces at MC=P.

Q: Suppose that purely competitive firms producing cashews discover that P exceeds MC. Is their…

A: The purely competitive firm produces cashews with price that exceeds the marginal cost. Thus, the…

Q: Assume the market for coffee mugs is perfectly competitive. Firms in the market are producing…

A: A perfectly competitive firm is a price taker and maximizes profit by producing at P =MC

Q: competitive market

A: A. If the price = AC = MC, then the market is competitive and incurring economic loss.

Q: If new technology in a perfectly competitive market brings about a substantial reduction in costs of…

A: The term "perfect competition" refers to a fictional market structure in which all suppliers are…

Q: Assume a number of street vendors sell hamburgers in a city. Each vendor has a marginal cost of 30…

A: The total cost incurred by a firm includes fixed costs and variable costs. Fixed costs are costs…

Q: When will a firm neither enter or exit a competitive market?

A: In competitive market firms are free to enter and exit.

Q: Which of the following is proof that the firm is not perfectly competitive a. Marginal cost is below…

A: In the perfectly competitive market, it can be said that the average revenue, marginal revenue and…

Q: Explain how economics make profit or loss when firms are perfectly competitive.

A: In a competitive market there are large number of firms producing similar and identical products…

Q: Suppose, at a given point in time, Lynn's Licorice Loft sells licorice in a perfectly competitive…

A: Given; Average total cost of producing licorice= $1.20 Average variable cost= $1.00 Marginal cost=…

Q: If there were 20 firms in this market, the short-run equilibrium price of titanium would be $ per…

A: The marginal cost curve is cut the minimum point of average variable cost. The supply schedule is…

Q: Is the perfectly competitive market model realistic? If not, why do we want to study the perfectly…

A: Perfect competition is a market model that assumes a large number of firms produce identical goods…

Q: The vast majority of industries are probably not perfectly competitive. Why then do you suppose…

A: * ANSWER :-  * Perfect competition is the most straightforward industry structure, and it serves as…

Q: Why is it said that they are "price takers" and unable to influence the market price? If firms in…

A: Disclaimer: Since you have posted multiple questions, I am providing you with the answer to the…

Q: Modified True or False: State whether each statement is true or false. If the statement is false,…

A: The equilibrium is established where the P=MC.

Q: possible. 3.- If the marginal income is greater than the marginal cost, the competitive company…

A: 3.  If the marginal income is greater than marginal cost, then it gives out a positive output.

Q: Consider a perfectly competitive market. A firm is producing at a level where MR = MC and P > ATC.…

A: Perfectly competitive market is the market in which there are large number of buyers and selling…

Q: George​ Stigler, "Perfect​ Competition, Historically​ Contemplated," Journal of Political…

A: A Perfectly​ competitive, has many buyers and​ sellers, with all firms selling identical​ products,…

Q: When is it the right time when a firm will enter a competitive market?

A: A competitive market is considered as one where firms have no opportunity to deviate from market…

Q: Productive efficiency and allocative efficiency are two concepts achieved in the long run in a…

A: Perfect competition is a competition where the firms in the market are price takers and have no…

Q: Which of the following would not help a firm to improve its competitive position?

A: Market Positioning:- Competitive positioning is a term used to describe how well a marketing people…

Q: Suppose the book-printing industry is a competitive market, and it begins with a long run…

A: There are two possibilities, since you did not mention if the firm is incurring profit or loss in…

Q: n competitive markets, there are many small firms with each firm unable to influence the market…

A: P = $20 TC = 50 + 2Q + 3Q2 MC = 2 + 6 Q Competitive market equilibrium,  P = MC  20 = 2 + 6 Q Q…

Q: What type of industry has the characteristics where there are many producers, they are able to…

A: The industry is said to be Monopolistic Competition. Monopolistic competition is the market…

Q: Quantity  Fixed Cost  Variable Cost Total Cost Marginal Cost 10 200 50 250 0 20 200 100 300 5 30 200…

A: In perfectly competitive market, price is constant and it is equal to marginal revenue. Marginal…

Q: Entrepreneurs shift capital and labor across industries in pursuit of profit. Let’s look at this a…

A: The benefits created by the organisation for performing its activities are referred to as profit.…

Q: Is it even better for perfectly competitive firms to produce output even though it is losing money?…

A: In economic theory, perfect competition occurs when all companies sell the same products, market…

Q: Which of the following is true concerning purely competitive industries?

A: The perfect competition market consists of a large number of sellers who are price takers as the…

Q: the market price in a competitive industry were above its equilibrium level, what would you expect…

A: In a competitive market there are large number of firms producing similar and identical products.

Q: What is the long-run equilibrium for a perfectly competitive market? How do entry and exit affect…

A: given   the long-run equilibrium for a perfectly competitive market? How do entry and exit affect…

Q: Assume the market for coffee mugs is perfectly competitive. Firms in the market are producing…

A: Let's First know about the terms we will use in the following question:- Average variable cost is…

Q: Economists identify competitive markets as having these characteristics: • Identical products •…

A: A market is said to be competitive if the size of the firms is small as compared to the market size.…