This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Assume that there are two types of perfectly competitive firms whose cost of production differ. An ... (Read 61 times)

plus1

  • Hero Member
  • *****
  • Posts: 676
on: Jun 30, 2018
Assume that there are two types of perfectly competitive firms whose cost of production differ. An increase in input prices will lead to an exodus of high cost firms before low cost ones.
  Indicate whether the statement is true or false

Question 2

Which of the following statements is true in the context of the long run?
 a. All the factors of production are fixed.
  b. No new firms enter the market.
  c. The producer can vary all the factors of production.
  d. The firms earn positive economic profit.
  e. Large firms tend to acquire market power.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

joneynes

  • Sr. Member
  • ****
  • Posts: 376
Reply #1 on: Jun 30, 2018
Answer to Question 1

T

Answer to Question 2

c


plus1

  • Hero Member
  • *****
  • Posts: 676
Reply #2 on: Jun 30, 2018
Correct answers!


joneynes

  • Sr. Member
  • ****
  • Posts: 376
Reply #3 on: Jun 30, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

According to animal studies, the typical American diet is damaging to the liver and may result in allergies, low energy, digestive problems, and a lack of ability to detoxify harmful substances.

Did you know?

Between 1999 and 2012, American adults with high total cholesterol decreased from 18.3% to 12.9%

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

Did you know?

There are immediate benefits of chiropractic adjustments that are visible via magnetic resonance imaging (MRI). It shows that spinal manipulation therapy is effective in decreasing pain and increasing the gaps between the vertebrae, reducing pressure that leads to pain.

Did you know?

People about to have surgery must tell their health care providers about all supplements they take.

Production efficiency. Production efficiency.
Traction is the application of a pulling force to maintain bone alignment during fracture healing. D Traction is the application of a pulling force to maintain bone alignment during fracture healing. D
The three types of cytoskeletal filaments The three types of cytoskeletal filaments
Darwin’s finches: Adaptive radiation of bill types. Darwin’s finches: Adaptive radiation of bill types.
ABO Blood Types ABO Blood Types
The production of a new allopolyploid species The production of a new allopolyploid species
Video: Neurotransmission at chemical synapses & Excitory and inhibitory potentials

For a complete list of videos, visit our video library