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 206 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?

Multiple experimental evidences have confirmed that at the molecular level, cancer is caused by lesions in cellular DNA.

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?

To maintain good kidney function, you should drink at least 3 quarts of water daily. Water dilutes urine and helps prevent concentrations of salts and minerals that can lead to kidney stone formation. Chronic dehydration is a major contributor to the development of kidney stones.

Did you know?

Multiple sclerosis is a condition wherein the body's nervous system is weakened by an autoimmune reaction that attacks the myelin sheaths of neurons.

Did you know?

There are actually 60 minerals, 16 vitamins, 12 essential amino acids, and three essential fatty acids that your body needs every day.

Eye ball perfectly labelled (map) Eye ball perfectly labelled (map)
Results from sequential study of two cohorts tested at three ages and at three different points in t Results from sequential study of two cohorts tested at three ages and at three different points in t
A typical output driver. In this case, the PCM applies voltage to the fuel pump relay coil to ... A typical output driver. In this case, the PCM applies voltage to the fuel pump relay coil to ...
Kyoto Protocol encourages industry to innovate and reduce the level of emissions Kyoto Protocol encourages industry to innovate and reduce the level of emissions
British Output and Productivity Growth, 1760–1913 British Output and Productivity Growth, 1760–1913
A 2.8-kg tool can move on a perfectly smooth ramp that slants at 42° above the horizontal. ... A 2.8-kg tool can move on a perfectly smooth ramp that slants at 42° above the horizontal. ...
Video: The Vestibular System

For a complete list of videos, visit our video library