Cost of producing lettuce did not change

Assignment Help Business Economics
Reference no: EM133629761

Question

The lettuce market is perfectly competitive. Assume that the market was in long run equilibrium before the floods. Further assume that the cost of producing lettuce did not change. What would be the impact of the floods on the profit of each lettuce farmer (firm)? Explain in detail.

Reference no: EM133629761

Questions Cloud

Producing low-quality umbrellas : Since the profit is positive, the firm has no immediate reason to switch to producing low-quality umbrellas.
Profit maximizing number of vending machines : What is the profit maximizing number of vending machines? What are Sweet Tooths profits at this quantity?
How did globalization affect your local economy : How did globalization affect your local economy? Did firms benefit by being able to export more? Or was local manufacturing and services negatively impacted?
Describe the economic role of the oil industry : Describe the economic role of the oil industry and its relationship to political stability or instability in the nations of the Middle East.
Cost of producing lettuce did not change : Assume that the market was in long run equilibrium before the floods. Further assume that the cost of producing lettuce did not change.
Helping to keep pills on the market : The rich help the poor in the short run-by paying pill prices high enough to cover average total cost, thus helping to keep pills on the market.
Producing wheat and corn vary considerably from farm to farm : Why are the prices of whaet and corn the same troughout th country, but the costs of producing wheat and corn vary considerably from farm to farm?
Inefficient compared to counter-current gas exchange : Of the two following types of gas exchange, co-current is inefficient compared to counter-current gas exchange.
List examples of determinants of demand for electric vehicle : List examples of determinants of demand for Electric vehicles and the likelihood that the demand will change in the foreseeable future

Reviews

Write a Review

Business Economics Questions & Answers

  Main determinants of aggregate spending

What are the main determinants of aggregate spending in the economy? How does each spending category vary over the business cycle?

  Annual net operating income

A shopping center has an annual net operating income of $1,025,000 and a capitalization rate of 8%. What is its value?

  Why bank of maryland is concerned about potential losses

Bank of Maryland is concerned about the potential for losses as it has been advised that the spot rate in 60 days can vary

  Statements is true about organizational culture

_____ communication involves the exchange of information among colleagues and peers on the same organizational level, such as across or within departments. Which of the following statements is true about organizational culture? Banks having separate ..

  Positive effect on increasing educational attainment

What policies have been shown to have the most positive effect on increasing educational attainment?

  Examine the reductionist thinking and social ruthlessness

Carefully examine the reductionist thinking and social ruthlessness of those (the World Bank and IMF included) spearheading the drive to 'commodify' water.

  Annual average pay in five major industries

One of the biggest decisions most of us have to make is which industry to look for work. Compensation matters, but it also matters whether pay is rising

  Crowded out as result of increase in government spending

Use the algebraic form of the aggregate demand curve to find the level of GDP that occurs when the money supply is $900 billion and government spending is $1200 billion. Repeat all the previous calculations if government spending increased to $1300 b..

  What are the firm variable costs

Suppose the firm chooses this input combination. What is the firm's short run cost function? What are the firm's fixed costs? What are the firm's variable costs?

  Shows little substitution between two factor inputs

Draw in excel an isoquant that shows little substitution between two factor inputs and on that shows large substitution. Vertical represents capital and horizontal represents labor

  The price elasticity of demand

If the price elasticity of demand in the United States for American-made luxury cars is 1.9, what is the impact on revenue if the price increases by 10%?

  Consumer might want the goods a firm produces

The fact that a consumer is not required to buy the goods that a given firm produces, as well as the fact that the consumer might want the goods a firm produces, but may choose to buy from other firms instead.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd