« previous next »

Author Question: Refer to Figure 12-5. What is the amount of the firm's fixed cost of production? A) 5,400 B) ... (Read 136 times)

jrubin

  • Hero Member
  • *****
  • Posts: 552
on: Jun 29, 2018
Refer to Figure 12-5. What is the amount of the firm's fixed cost of production?
 
  A) 5,400 B) 6,750
  C) 8,100 D) It cannot be determined.

Question 2

How does the demand curve for an oligopoly firm differ from the demand curves for firms in competitive market structures?
 
  What will be an ideal response?
InMicro ¦ Hubbard, O'Brien ¦ 1st Edition
Buy Test-Bank


popopong

  • Sr. Member
  • ****
  • Posts: 307
Reply #1 on: Jun 29, 2018
Answer to Question 1

A

Answer to Question 2

The demand curve facing a perfectly competitive firm is horizontal at the prevailing market price. In other words, the perfect competitor does not influence market price; rather it takes the price as given. A firm in an oligopolistic industry can influence market price and therefore faces a downward-sloping demand curve. But not much else can be said about its demand curve because firms in oligopolistic industries are interdependent, that is, each firm reacts to its rivals' behaviors, or at least, to what it thinks its rivals will do. Consequently, it is difficult to determine an individual oligopolist's demand curve.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

jrubin

  • Hero Member
  • *****
  • Posts: 552
Reply #2 on: Jun 29, 2018
Thank you :)


popopong

  • Sr. Member
  • ****
  • Posts: 307
Reply #3 on: Jun 29, 2018
Happy to help you


« previous next »
 

Did you know?

Since 1988, the CDC has reported a 99% reduction in bacterial meningitis caused by Haemophilus influenzae, due to the introduction of the vaccine against it.

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

Did you know?

The effects of organophosphate poisoning are referred to by using the abbreviations “SLUD” or “SLUDGE,” It stands for: salivation, lacrimation, urination, defecation, GI upset, and emesis.

Did you know?

Thyroid conditions cause a higher risk of fibromyalgia and chronic fatigue syndrome.

Did you know?

Although puberty usually occurs in the early teenage years, the world's youngest parents were two Chinese children who had their first baby when they were 8 and 9 years of age.

How Orbital Eccentricity Changes the Amount of Solar Radiation Earth Receives How Orbital Eccentricity Changes the Amount of Solar Radiation Earth Receives
Demonstrate the Application of Triangular, Figure-Eight, and Tubular Bandages Demonstrate the Application of Triangular, Figure-Eight, and Tubular Bandages
Find the final amount if the initial amount is 400 units. Find the final amount if the initial amount is 400 units.
Calculation of the Amount of the Local Anesthetic and Vasoconstrictor Calculation of the Amount of the Local Anesthetic and Vasoconstrictor
Calculate the amount of interest that will be charged on $9000.00 borrowed for four months at ... Calculate the amount of interest that will be charged on $9000.00 borrowed for four months at ...
Examples of Polypeptide Production from Synthetic mRNAs Examples of Polypeptide Production from Synthetic mRNAs
Video: Types of disease resistance: innate defenses & immunity

For a complete list of videos, visit our video library