Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
8th Edition
ISBN: 9781305585126
Author: N. Gregory Mankiw
Publisher: Cengage Learning
Question
Chapter 4.1, Problem 1QQ
To determine

Market and perfect competitive market.

Blurred answer
Students have asked these similar questions
We expect that firms in perfectly competitive markets can earn higher economic profits in the short run but will only earn normal profit in the long run. 1. Business owners would prefer to earn higher economy profits. Why do economists consider it inefficient when firms earn above normal profit? 2. Why do economists consider it inefficient when firms earn less than normal profit?
H3. In a perfectly competitive market, a firm’s production in the market described as Q = f(X) = 5X0.5 , where the final product of that firm per unit $20 and the raw material of that product per unit $5. a- much raw material will use by the firm to maximize the profit? b-How much final product will produce by the firm? c-What will be the firm’s profit
1a)Why do we argue that in the long run, perfect competition will result in efficiency? How is this related to the concept of normal profits and firm entry and exit from markets? 1)bIn economics, we argue that the demand curve in competitive markets is where Px = MUx, ceteris paribus. Explain using sentences and words, what this idea means.
Knowledge Booster
Similar questions
    • SEE MORE QUESTIONS
    Recommended textbooks for you
  • Principles of Macroeconomics (MindTap Course List)
    Economics
    ISBN:9781305971509
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Macroeconomics (MindTap Course List)
    Economics
    ISBN:9781285165912
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Essentials of Economics (MindTap Course List)
    Economics
    ISBN:9781337091992
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
  • Principles of Economics, 7th Edition (MindTap Cou...
    Economics
    ISBN:9781285165875
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Economics (MindTap Course List)
    Economics
    ISBN:9781305585126
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Microeconomics
    Economics
    ISBN:9781305156050
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
  • Principles of Macroeconomics (MindTap Course List)
    Economics
    ISBN:9781305971509
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Macroeconomics (MindTap Course List)
    Economics
    ISBN:9781285165912
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Essentials of Economics (MindTap Course List)
    Economics
    ISBN:9781337091992
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Economics, 7th Edition (MindTap Cou...
    Economics
    ISBN:9781285165875
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Economics (MindTap Course List)
    Economics
    ISBN:9781305585126
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning
    Principles of Microeconomics
    Economics
    ISBN:9781305156050
    Author:N. Gregory Mankiw
    Publisher:Cengage Learning