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

Author Question: If input prices for perfectly competitive firms increase as the output of its industry expands: a. ... (Read 220 times)

washai

  • Hero Member
  • *****
  • Posts: 523
on: Jun 30, 2018
If input prices for perfectly competitive firms increase as the output of its industry expands:
 a. their short run average cost curves will shift up as the industry expands.
 b. after a permanent increase in demand, the long run equilibrium price will be higher than the original price.
  c. after a permanent increase in demand, the short run equilibrium price will be higher than the eventual long run equilibrium price.
  d. all of the above will be true.

Question 2

The limits of the terms of trade are determined by the:
 a. distribution costs in each country.
  b. stock of foreign exchange in each country.
  c. average total costs of producing the commodities in each country.
  d. opportunity costs in each country.
  e. currency exchange rate between the trading partners.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

flexer1n1

  • Sr. Member
  • ****
  • Posts: 373
Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

d


washai

  • Hero Member
  • *****
  • Posts: 523
Reply #2 on: Jun 30, 2018
Correct answers!


flexer1n1

  • Sr. Member
  • ****
  • Posts: 373
Reply #3 on: Jun 30, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

The average person is easily confused by the terms pharmaceutics and pharmacology, thinking they are one and the same. Whereas pharmaceutics is the science of preparing and dispensing drugs (otherwise known as the science of pharmacy), pharmacology is the study of medications.

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Did you know?

In the United States, an estimated 50 million unnecessary antibiotics are prescribed for viral respiratory infections.

Did you know?

In women, pharmacodynamic differences include increased sensitivity to (and increased effectiveness of) beta-blockers, opioids, selective serotonin reuptake inhibitors, and typical antipsychotics.

Did you know?

Human stomach acid is strong enough to dissolve small pieces of metal such as razor blades or staples.

The Acheulean industry is typified by hand axes and cleavers. The Acheulean industry is typified by hand axes and cleavers.
Prices for Cotton and for Slaves, 1802–1860 Prices for Cotton and for Slaves, 1802–1860
All computer systems perform four basic functions: input, processing, storage, and output. All computer systems perform four basic functions: input, processing, storage, and output.
A substrate and its competitive inhibitor A substrate and its competitive inhibitor
Possible Sources of Differences in Output per Worker Possible Sources of Differences in Output per Worker
A melting profile shows the increase in UV absorption versus temperature A melting profile shows the increase in UV absorption versus temperature
Video: Frequency of stimulation and force (Recruitment of motor units and force)

For a complete list of videos, visit our video library