Perfectly competitive industry

Assignment Help Microeconomics
Reference no: EM132542233

Why will profits for firms in a perfectly competitive industry tend to vanish in the long run?

Reference no: EM132542233

Questions Cloud

Gap in current market : Determine where there is a gap in the current market. Explain why you feel there is a niche or area for you to succeed in the market
Describing firms use of cooperative strategy : You will use the Internet to find two articles describing firms' use of a cooperative strategy:
Why taxing a product leads to deadweight loss : Explain fully why taxing a product leads to deadweight loss. Use appropriate graphs to explain why the deadweight loss is greater the more elastic the demand
Price of a product falls : Use the Law of Demand to explain why all consumers must receive a surplus whenever they purchase more than one unit of a product
Perfectly competitive industry : Why will profits for firms in a perfectly competitive industry tend to vanish in the long run?
How does a monopoly maximize its profits : How does a monopoly maximize its profits? Is a monopoly guaranteed to have profits?
What is marginal revenue : What is Marginal Revenue? For both Perfect Competition and Monopoly, explain the relationship between marginal revenue and demand.
Four characteristics of perfect competition : What are the four characteristics of perfect competition? Explain what would happen if they were absent from a market?
Sketch the price-consumption curve for the values : Suppose the price of good Y is $1 and the consumer has $100 to spend (M = 100). Sketch the price-consumption curve for the values

Reviews

Write a Review

Microeconomics Questions & Answers

  What is enterpreneurship

When we think of entrepreneurship, we often think of small, start-up firms. Describe how a large corporation in an established industry can be "entrepreneurial" and discuss how Peng's entrepreneurial strategies apply in this situation.

  What happens to the price of oil

Suppose that large oil reserves are discovered off the coast of Cuba, and these reserves will increase the world's supply of oil by 2 percent.

  Under what conditions will revenue rise-fall or remain same

Will this necessarily result in more revenue? Under what conditions will revenue (a) rise, (b) fall, or (c) remain the same?

  In what circumstances do you believe this is a beneficial

There is a debate about whether sterile hypodermic needles should be passed out free of charge in cities with high drug use. Proponents argue that doing so will reduce the incidence of diseases, such as HIV/AIDS, that are often spread by needle shari..

  Why does the free-rider problem occur in the debt market

Explain the principal-agent problem as it pertains to equity contracts. Why does the free-rider problem occur in the debt market?

  How was priest able to end up better off than when he began

Recall the priest who traded the cigarettes for cheese, and cheese for cigarettes, so that he ended up with more cigarettes than he had initially. Did someone else in the camp lose by the priest's activities?

  Identify the major stakeholders in your organization

Identify the major stakeholders in your organization. Analyze the top-management structure, investigate and enumerate the code of ethics.

  Evaluate trends in demand over time

Explore the supply and demand conditions for your firm's product. Evaluate trends in demand over time and explain their impact on the industry and the firm.

  Three general economic principles related to the article

Students will conduct an analysis of a recent article and provide their evaluation and outcome expectations in a written paper of 1500-2500 words that discusses:

  Determining the equivalent annual worth of the savings

A construction firm can achieve a $15000 cost savings in Year 1 and increasing by 10% each year for the next 5 year by upgrading some equipment.

  What is indirect utility function

What is indirect utility function? How will you derive an indirect utility fuctio from a direct utility function?ezplain roy''s identity?

  Disposing of used assets

Your company has a customer who is shutting down a production line, and it is your responsibility to dispose of the extrusion machine. The company could keep it in inventory for possible future product and estimates that the reservation value is $250..

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