is price equal to minimum LRAC in a monopolistically competitive industry in long-run equilibrium? why or why

Fantastic news! We've Found the answer you've been seeking!

Question:

is price equal to minimum LRAC in a monopolistically competitive industry in long-run equilibrium? why or why not?

Related Book For answer-question

Microeconomics A Contemporary Introduction

ISBN: 978-1111415921

9th edition

Authors: William A. McEachern

See More Books

Posted Date: Mar 06, 2024 11:32 PM

See More Questions

In the long run, a monopolistically competitive firm earns zero economic profit, which is exactly what would occur if the industry were perfectly competitive. Assuming that the cost curves for each...
Imagine that you have been charged with selecting the optimal set of investment projects to fund from the following list of 6 proposed projects. Discount Rate is 10%. 1) What is the NPV of Project A?...
Multiple Choice Questions 1. Which of the following conditions does NOT describe a firm in a monopolistically competitive market? a. It makes a product different from its competitors. b. It takes its...
1. Find the probability of obtaining between 40 and 60 heads when tossing a coin 100 times. 2. Find the probability of obtaining 6s between 20 and 40 times when rolling a die 200 times.
Why should accountants adhere to a higher standard of ethical conduct than many other members of society do?
Consider the regression model Yt = 0 + 1Xt + ut, where ut follows the stationary AR(1) model with mean 0 and variance a. Suppose that Xt is independent of uj for all t and j. Is Xt exogenous (past...
Using only the factor formulas given in Table 2.6, derive Equation 7.5 starting with Equation 7.3. TABLE 2.6 Summary of Discrete Compounding Interest Factors. To Find Given Factor Symbol Name P F...
Hanson Company is constructing a building. Construction began on February 1 and was completed on December 31. Expenditures were $1,800,000 on March 1, $1,200,000 on June 1, and $3,000,000 on December...
Circle the most appropriate choice for the most optimized MIPS assembly program to implement the following compound expression applying a fall through technique: if (($t1 < 0) || ($t2 < 0)) {$t3++; }...
The term "ceteris paribus" means that: everything is variable. all variables except those specified are changing. no one knows which variables will change and which will remain constant. nothing is...
How are formulation and implementation related?
What are some of the internal causes of organizational failure?
How do market-extension acquisitions and geographic rollups differ?
Give examples of product extension, overcapacity, and R&D acquisitions.
Despite the pharmaceutical industrys notable contributions to human progress, including the development of miracle drugs for treating cancer, AIDS, and heart disease, there is a growing ethical...
a. Compute these ratios for fiscal Year 5. b. Assess the changes in the short-term liquidity risk of Abercrombie & Fitch between fiscal Year 3 and fiscal Year 5 and the level of that risk at the end...
You purchase a bond with a coupon rate of 6.7 percent, a par value $1,000, and a clean price of $905. Assume a par value of $1,000. If the next semiannual coupon payment is due in two months, what is...
Explain how the specialization of labor can lead to increased productivity.
Some restaurants offer all you can eat meals. How is this practice related to diminishing marginal utility? What restrictions must the restaurant impose on the customer in order to make a profit?
Firms hurt by cheap imports typically argue that restricting trade will save U.S. jobs. Whats wrong with this argument? Are there ever any reasons to support such trade restrictions?
How does each of the following variables behave over the business cycle? Develop graphs to show your results and give economic explanations. a. Real imports b. Federal government receipts c. Housing...
In the FRED database, find a variable that is available in both a seasonally adjusted form and a not seasonally adjusted form. Plot both over time and describe how large the seasonal variation in the...
It has been argued that the stock market predicts recessions. Using quarterly data since 1961, plot the real value of the stock market index (the Wilshire 5000 index in the last month of the quarter...

is price equal to minimum LRAC in a monopolistically competitive industry in long-run equilibrium? why or why

Question:

Expert Answer:

In a monopolistically competitive industry firms produce differentiated products allowing them to ha... View the full answer

Microeconomics A Contemporary Introduction

Students also viewed these economics questions