Chapter 7, Problem 10SQ

In perfect competition, a firm has __________ market power.     A. No     B. High     C. Low     D. Complete

How does perfect competition address the problems of Allocative and Productive efficiency?  Assume this is a constant or increasing cost industry. Start your analysis from a point of economic profit or loss, your choice.  Explain this in no less than 50 words, or less if you employ graphs.  In your explanation,  define each term, define triple equality, does it matter if this is the short or long run? why? How is Allocative or Productive efficiency achieved, or not? How, if at all,  do the existence of externalities alter your analysis?

Explain the feature of the large number of the sellers and the buyers in the perfect competition

In perfect competition, price is _____________.     increasing.      decreasing.      none of these answers.     equal to marginal revenue.

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?

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? Address these questions in your discussion thread post. You can use a specific product (e.g., bushels of corn) in you discussion if you wish or you can write about generalities.

Why is perfect competition assumed to be the best market situation in most cases? Draw a graph showing the long run result of perfect competition and explain why it benefits society.

In the long​ run, firms in a competitive marketA.earn positive accounting​ profit, but zero economic profit.B.earn zero accounting profit and zero economic profit.C.shut down because their accounting profit goes to zero.D.earn negative accounting​ profit, but positive economic profit.

explain how the costs of the firm are calculated, and the way that prices are determined in perfect competition