Question: 1. When a perfectly competitive industry is in long term equilibrium all firms in the industry will be operating at their lowest possible costs. (IS

1.When a perfectly competitive industry is in long term equilibrium all firms in the industry will be operating at their lowest possible costs. (IS THIS STATEMENT TRUE OR FALSE GIVE EXPLANATION)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Prime Corporation acquired 80 percent of Steak Companys voting shares on January 1, 20X4, for $280,000 in cash and marketable securities. At that date, the noncontrolling interest had a fair value of...

someone pls solve this assignment for me pls Total Marks (40) For the following statement select True and False with two to five line explanation. Explanation is compulsory 1. When there is a...

For the following statement select True or False with two to five line explanations. EXPLANATION IS COMPULSORY 15. A firm operating under conditions of perfect competition will find that its marginal...

identify whether true or false and give short explanation With fixed costs of $400, a firm has average total costs of $3 and average variable costs of $2.50. Its output is 800 units. When marginal...

When a perfectly competitive industry is in long term equilibrium all firms in the industry will be operating at their lowest possible costs.(IS THIS STATEMENT TRUE OR FALSE GIVE EXPLANATION)

1. A good is called "inferior" if: i) There are other goods that consumers prefer to it. ii) Consumers buy more of it as the price falls. a) i) is the definition of an inferior good and ii) is...

Flag question: Question 13 FoisPas, a French restaurant in Westwood, has decided to increase the price of its Sunday brunch from $30 to $34. Following this price increase, the number of reservations...

One. 1)If a perfectly competitive industry is monopolized, consumer surplus: A. becomes equal to producer surplus. B. can be expected to decrease. C. usually remains constant. D. becomes double of...

Question: Q1.Table 5.3 Quantity of Workers Total Product Average Physical Product Marginal Physical Product 0 0 1 3 2 7 3 12 4 16 5 18 6 18 In Table 5.3, the average physical product of the 3rd...

Part one Explain the following. 1. Compared with a perfectively competitive market a monopoly is inefficient because a. it raises the market price above marginal cost and produces a smaller output....

QUESTION 1 Price discrimination refers to O selling a product at different prices, with the price difference being unrelated to differences in marginal cost. O selling a product at different prices...

Amie and Steve, who have been married for the past five years are heading into retirement. Steve recently converted his RRSP to a RRIF which had $250,000. On January 1st of this year assets had...

How does management by exception help to alleviate information overload by a manager?

ABCD is a trapezium. Work out the angles of the trapezium. Give a reason for each answer. C 64 B A D 105

An all-equity firm consists of a single project that will produce a perpetual cash flow of either $100M (good state) or $30M (bad state) next year. The probability of the good state is 30%. The beta...

LO12.2 List and explain the barriers to entry that shield pure monopolies from competition.

2. Discuss the major barriers to entry into an industry. Explain how each barrier can foster either monopoly or oligopoly. Which barriers, if any, do you feel give rise to monopoly that is socially...

LO12.3 Explain how demand is seen by a pure monopoly.