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 81 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?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

To prove that stomach ulcers were caused by bacteria and not by stress, a researcher consumed an entire laboratory beaker full of bacterial culture. After this, he did indeed develop stomach ulcers, and won the Nobel Prize for his discovery.

Did you know?

Historic treatments for rheumatoid arthritis have included gold salts, acupuncture, a diet consisting of apples or rhubarb, nutmeg, nettles, bee venom, bracelets made of copper, prayer, rest, tooth extractions, fasting, honey, vitamins, insulin, snow collected on Christmas, magnets, and electric convulsion therapy.

Did you know?

It is important to read food labels and choose foods with low cholesterol and saturated trans fat. You should limit saturated fat to no higher than 6% of daily calories.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Urine output. Urine output.
The Acheulean industry is typified by hand axes and cleavers. The Acheulean industry is typified by hand axes and cleavers.
A typical accelerator pedal position (APP) sensor, showing two different output voltage signals ... A typical accelerator pedal position (APP) sensor, showing two different output voltage signals ...
Competitive drug enzyme immunoassay. Competitive drug enzyme immunoassay.
Effect of an Increase in Technological Progress Effect of an Increase in Technological Progress
A 16-input multiplexer is to be used to perform parallel-to-serial data conversion. Which of ... A 16-input multiplexer is to be used to perform parallel-to-serial data conversion. Which of ...
Video: How eudicots (true dicots) differ from monocots Animation

For a complete list of videos, visit our video library