Why are firms operating under perfectly competitive market

Assignment Help Business Management
Reference no: EM132642626

(a) Why are firms operating under perfectly competitive market said to be a 'price taker'? What impact does this have on the firm demand curve?

(b) "Firm operating under perfect competition can only earn zero economic profit in the long run" Discuss this statement.

Reference no: EM132642626

Questions Cloud

Calculate the Net Capital Gain : On 1 July 2016 Keith acquired a Rolex watch for $42,000. Keith borrowed $40,000 of the money from Nasty Bank. Calculate the Net Capital Gain
Explain expansionary monetary policy to lower interest rates : "The Reserve Bank of Australia can use expansionary monetary policy to lower interest rates to stimulate aggregate demand.
Calculate the total amount : Keith had to move house to Sydney to look after his sick grandparents. Calculate the total amount, if any, to be included in Keith's assessable income
Calculate the gross profit earned by shady dog music : Calculate the gross profit earned by Shady Dog Music during the month of August using each of the cost figures (FIFO, LIFO, and Average Cost) computed
Why are firms operating under perfectly competitive market : (a) Why are firms operating under perfectly competitive market said to be a 'price taker'? What impact does this have on the firm demand curve?
How criminal justice administrators can hold their employees : Explain how criminal justice administrators, whether in law enforcement, corrections, or the court system, can hold their employees accountable.
How the economy adjusts back to long-run equilibrium : Use the basic AD-AS model to illustrate and describe the effect of unexpected increase in the oil prices on macroeconomic equilibrium output, price level
Explain the burden of tax on consumers and producers : Suppose the government has decided to impose a tax on electricity, explain the burden of tax on consumers and producers.
Record the transactions in chronological order : Record the transactions in chronological order. May1 Invested $65,000 in cash and office equipment that had a fair value of $38,000 in the business.

Reviews

Write a Review

Business Management Questions & Answers

  Virtual teams have become a fact of business life

Virtual teams have become a fact of business life, and they are increasingly being used to manage and accomplish a myriad of tasks today.

  Track performance in key areas of business

What are 5 KPIs to measure and track performance in key areas of business?

  What internet business model would be appropriate

Prepare functional specification for the company's use of the Web and the internet. Include links to and from other sites in your design.

  Premium materials such as interactive exams

Later we created an additional option AccountingCoach PRO which contains premium materials such as interactive exams, visual tutorials, videos, and more. PRO also contains the content found on AccountingCoach.com in high-quality PDF format so you ..

  Illustrate what happens to the retained earnings account

Comment on whether retained earnings are an element of financial statements or an account. Illustrate what happens to the Retained Earnings account at the time expense are recognized?

  How does sephora use the online environment

Visit Sephora's website and browse the online store. How does Sephora use the online environment to promote its products without the advantage of letting.

  Describe use the capm to find the expected rate of return

Describe Use the CAPM to find the expected rate of return and the market risk premium on the market

  Analyze leadership and ethical values of leader interviewed

Analyze the leadership, motivation, and ethical values of the leader interviewed and assess its impact in the ethical performance of the organization.

  Compare the five categories of classroom training

Compare the five categories of classroom training, lecture, discussion, audio-visual media, experiential methods as well as computer-based training

  Decide each sprint backlogs from product backlog items

Decide time estimations of items and prepare your project plan. Decide each Sprint Backlogs from product backlog items

  Discussion-your research and social change

The mission of Walden University is to develop not only scholar-practitioners, but also to foster positive social change. This mission has great potential

  What is critical thinking and do you believed

What is critical thinking and do you believed the payoff of critical thinking is the effort?

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