Why a monopoly can potentially earn super-normal profit

Assignment Help Microeconomics
Reference no: EM13306257

Explain, using diagrams, why a monopoly can potentially earn super-normal profit in both the short run and the long run, while perfectly competitive firms can only earn normal profit in the long run.

Reference no: EM13306257

Questions Cloud

Write an arm assembly function : Write an ARM assembly function that takes a string and two characters and returns a pointer to a new modified string. The first character is the character to replace and the second is the character to replace it with. The C program below changes t..
Calculate the minimum required minimum wall thickness : A tubular aluminium bar (G=28GPa) of square cross section with outer dimensions 50mm x 50mm must resist a torque T=300Nm. Calculate the minimum required wall thickness t_min if allowbale shear stress is 20MPa
What makes these pairs transitive : What I dont understand is how these pairs are considered transitive. My question is what makes these pairs transitive?
What is the minimim required diameter d-min of the pins used : A plane truss has joint loads P, 2P, and 3P at joints D, C and B, respectively where load variable P=23kN. All members have two end plates which are pin-connected to gusset plates.
Why a monopoly can potentially earn super-normal profit : Explain, using diagrams, why a monopoly can potentially earn super-normal profit in both the short run and the long run, while perfectly competitive firms can only earn normal profit in the long run.
Create a visual basic program that creates a bill : Create a Visual Basic program that creates a bill for an automobile repair shop. The shop bills customers at the rate of $35 per hour for labor. Parts and supplies are subject to a 5% sales tax.
Create user documentation for the nontechnical personnel : Create user documentation for the nontechnical personnel. Include an overview of features of the application as well as instructional materials. Screen shots should be included for clarity as well.
Create a java gui business application : Create a Java GUI business application. This program may be any business application of your choice.
Estimate its rotational kinetic energy : A 1.83-kg solid sphere (radius = 0.141 m) is released from rest at the top of a ramp and allowed to roll without slipping. What is its rotational kinetic energy

Reviews

Write a Review

Microeconomics Questions & Answers

  Define the rightward shift of the aggregate demand curve

A fall in the value of the dollar against other currencies makesUS final goods and services cheaper to foreigners even though theUS aggregate price level stays the same. As a result,foreigners demand more American output.

  Economy fundamentals

Which is not a factor of production? Which is not one of the five fundamental questions that an economy must deal with?

  What will be the price u.s. consumers will pay

The U.S. imposes a quota of 45 million units per month on this good and what will be the price U.S. consumers will pay for the good now?

  What happens to the interest rate and investment

Suppose that the government increases taxes and government purchases by equal amounts. What happens to the interest rate and investment in response to this balanced-budget change Does your answer depend on the marginal propensity to consume

  Find changes on the equilibrium price

Think the market for personal computers. Assume that the demand is  constant : the demand curve does not change. Predict the effects of the following changes on the equilibrium price of computers.

  How many pounds of potatoes will she purchase

Subsequent pounds are worth $0.30, how many pounds of potatoes will she purchase? What if she only had $3.00 to spend?

  Why would an inverted yield curve be problem for economy

When the interest rate on short-term government securities is higher than the interest rate on long-term government securities, we refer to the yield curve (i.e. the relationship between the return on different bonds) as being inverted

  Explain why the government might be at ensuring safety

Many economists would argue that private companies are likely to be more efficient than the government at operating airlines. Yet many economists would also argue that there is a valid reason for government to regulate the safety of those same air..

  What is being bought and sold in each direction

an economist might say that collage and universatys "produce" education, using facility members and students as inputs. According to this line of reasoning, education is then "consumed" by house holds. Construct a circular-flow diagram like the on..

  Define rate of population growth

Other things the same, in the Solow model in the steady state, a higher rate of population growth ________ growth rate of output per worker.A higher rate of saving at the national level will, in the long-run ________.

  What are the average variable cost

What is the variable cost and when output is 10,000, what are the average variable cost and the average fixed cost?

  Difference between monopoly and oligopoly

Describe the difference between a monopoly and an oligopoly, and a cartel and provide an example of the monopoly, an oligopoly, and a cartel and write down the welfare effects of monopolies and oligopolies.

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