Why does entry eliminate positive economic profits in a perfectly competitive industry?
Question:
Why does entry eliminate positive economic profits in a perfectly competitive industry?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (8 reviews)
Entry eliminates positive economic profits abovenormal rat...View the full answer
Answered By
Joram mutua
I am that writer who gives his best for my student/client. Anything i do, i give my best. I have tutored for the last five years and non of my student has ever failed, they all come back thanking me for the best grades. I have a degree in economics, but i have written academic papers for various disciplines due to top-notch research Skills.In additional, I am a professional copywriter and proofreader.
5.00+
2+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
In a perfectly competitive industry we expect that a rightward shift in the industry supply curve will cause: Select one: a. market price to rise, and individual firms remaining in the market to...
-
Why does exit eliminate economic losses in a perfectly competitive industry?
-
In a perfectly competitive industry the market price is $12. A firm is currently producing 50 units of output; average total cost is $10, marginal cost is $15, and average variable cost is $7 a. Is...
-
As a preliminary to requesting budget estimates of sales, costs, and expenses for the fiscal year beginning January 1, 2009, the following tentative trial balance as of December 31, 2008, is prepared...
-
The Topps Company has a $1 million funded pension plan for its employees. The portfolio beta is equal to 1.12. Assume the company sells (writes) 60 October 1100 (strike price) call option contracts...
-
The YTM on a bond is the interest rate you earn on your investment if interest rates dont change. If you actually sell the bond before it matures, your realized return is known as the holding period...
-
A loop of wire carries a current \(l\) as shown in Figure P28.13. Determine the direction of the magnetic field at the points labeled. Data from Figure P28.13 L x 2 3
-
Rita Lane is the accountant for Outdoor Living, a manufacturer of outdoor furniture that is sold through specialty stores and Internet companies. Lane is responsible for reviewing the standard costs....
-
10. A plastic ball is rising in water with terminal speed v. If we use a different plastic whose density is double that of the original ball but still less that density of water, keeping the radius...
-
What must be true about input costs as industry output expands for an increasing-cost industry?
-
Why do firms enter profitable industries?
-
Is performing architectural design compatible with an agile development methodology? Choose an agile method and discuss ADD in that context.
-
A table has sold for $670 (15% VAT inclusive). Calculate the new setting price of this table if the VAT was raised to 17.5%
-
DLList Removal Description You are provided with the following DLList -type object iList: size of list: 2 prev next sentinel nodeElement prev 241 next nodeElement Perform the following two (2)...
-
Q-14:- Calculate the potential at a point "P" due a charge of 40.0 C located 9.0 cm away. And also find the work done to bring a charge of 2.0 nC from infinity to point "p" with the help of this...
-
A firefighter with a weight of 793 N slides down a vertical pole with an acceleration of 2.98 m/s, directed downward. What are the magnitudes and directions (choose the positive direction up) of the...
-
Q-5:- The electrostatic force between the two point charges is 0.5 N. If one of the charge become 2 times and the distance between them has been decreased by 1/3, therefore the new force Fl will...
-
Consider the market for wool described by the supply and demand equations in Problem 1.12. Suppose income rises from I1 = 20 to I2 = 24. a) Using comparative statics analysis, find the impact of the...
-
In July 2013, cnet.com listed the battery life (in hours) and luminous intensity (i. e., screen brightness, in cd/m2) for a sample of tablet computers. We want to know if screen brightness is...
-
What do barriers to entry have to do with the extent of competition in an industry? What is the most important reason that some industries, such as music streaming, are dominated by just a few firms?
-
Finding dominant strategies is often a very effective way of analyzing a game. Consider the following game: Microsoft and Apple are the two firms in the market for operating systems. Each firm has...
-
Bob and Tom are two criminals who have been arrested for burglary. The police put Tom and Bob in separate cells. They offer to let Bob go free if he confesses to the crime and testifies against Tom....
-
Write a method (pseudocode) to reverse the queue using another empty queue. You may only use queue operations such as enqueue(), dequeue(), and size(). No other data structure can be used other than...
-
Solve the recurrence relation an = 7an-18an-2-9.2", with initial conditions ao = 5, a = 10. Show all your work.
-
Write an assembly language program that asks the user to enter an integer dollar amount between 1 and 3,000. Your program should display the corresponding class description using the following table....
Study smarter with the SolutionInn App