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d- With help of hypothetical MC, ATC and
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- Explain the implications of large number of buyers and sellers in a perfectly competitive market.A perfectly competitive firm will be interested in producing a positive output only when the price of its product exceeds its ______. a. AFCmin b. AVCmin c.MCmin d.ATCminEvaluate the statement. T/F There are no selling cost incurred in a perfectly competitive market.
- A perfectly competitive firm does not increase its quantity of output without limit, even though it can sell all it wants at the going price. What quantity does it produce and why?A requirement for a perfectly competitive market is that the sellers sell identical products (consumers don't care who makes the products sold in that market). Think about this from the perspective of the seller. What are the benefits of this? What are the drawbacks?Fabulous Farms operates in a perfectly competitive market. Which of the following is required for Fabulous Farms to both maximize profits and achieve allocative efficiency? A P = MC B P > MC C P < MC D P = MC – MR
- How does an increase in market demand for a product in a perfectly competitive market affectthe short-run and long-run equilibrium? Show on a diagram and discuss the adjustments firms make in terms of price and quantity to reach the new equilibrium. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.Explain the concept of a perfectly competitive market and its characteristics.Asap no AI True or False: In a perfectly competitive market, firms have significant market power.