Show Recommended textbook solutions
 Statistical Techniques in Business and Economics15th EditionDouglas A. Lind, Samuel A. Wathen, William G. Marchal 1,236 solutions
Principles of Economics8th EditionN. Gregory Mankiw 1,335 solutions Fundamentals of Engineering Economic Analysis1st EditionDavid Besanko, Mark Shanley, Scott Schaefer 215 solutions
Century 21 Accounting: General Journal11th EditionClaudia Bienias Gilbertson, Debra Gentene, Mark W Lehman 1,009 solutions
Home Subjects Expert solutions Create Log in Sign up Upgrade to remove ads Only ₩37,125/year
Terms in this set (70)In a perfectly competitive market, there are ______ buyers and _______ sellers. many, many Which of the following is an accurate statement about a perfectly competitive market? It has few barriers to either entry or exit A firm maximizes profits by maximizing the difference between _______. total revenue and total costs What is the term used for the additional income derived from the production of one unit of the good? marginal revenue Which of the following is an accurate statement about a firm with 0 economic profits? It can cover both its implicit and explicit costs Which of the following shows the equilibrium output that a firm will provide at various prices in the short run? A short-run supply curve A firm will always shut down when it cannot cover its average _______ costs. variable A graph shows the portion of the marginal cost above the average valiable costs for all the firms in the corn market for a period of 6 months. This graph is a ________. short-run market supply curve In an expanding market, the market supply curve will ______. shift to the right A firm will get a normal return on the use of its resources at ______ economic profits in the _______ run. zero; long In a ________ industry, cost curves do not change as output changes. constant-cost _______ are factors outside the firm's control that raise the firm's costs as industry output expands. External diseconomies of scale A _______ occurs when there is a single supplier of a product that has no close substitutes. monopoly How do shifts in supply effect a constant-cost industry in the long month? eliminate profits When a government determined who can participate in a certain type of business, it creates a ________. legal barrier A horizontal demand curve happens with _______. pure competition What will happen if a monopolist raises prices? It will lose some of its customers. When MR = MC, a monopolistic will _______ profits. maximize Patents give exclusive rights to a product for up to _________. 20 years From the view of society, monopolies produce _________. too little of a good Most firms ________. create products that have good substitutes Significant laws restricting monopolies in the United States began to be passed in the __________. 1890s What is price discrimination? charging different customers different prices for the same good Price discrimination requires _________. knowing who has willingness to pay Which of the following types of markets would most likely have numerous, fierce competitors? monopolistic competition Which of the following is an accurate statement about monopolistic competition? Firms produce products that are somewhat different. If total revenue is greater than total cost at q*, the firm is generating ________. total economic profits When do the most firms enter a market? when there are economic profits If many firms producing similar products enter the market, the demand curve for existing firms producing this type of product will become more _________. elastic For Janet's company last year, the total revenue was $40,000 the total cost was $50,000 q*. As a result, Janet's firm is ________. generating total economic losses P* - ATC is used to determine ________. per units profits With monopolistic competition, society pays ________ for a product than it costs society to ________ it. more; produce Which of the following would most likely advertise their products? monopolistically competitive firms Which of the following would most likely enhance customer confidence in the quality of a product? established brand name In perfectly competitive markets. products are ________ and sellers are _________. homogeneous; price takers Perfectly competitive markets have _________ sellers, each of which produces a ________ share of industry output. many; small An individual, perfectly competitive firm has no perceptible influence on the market price. In a market with perfectly competitive firms, the market demand curve is _________ and the demand curve facing each other firm is _________. downward sloping; horizontal The marginal revenue of perfectly competitive firm is constant as output increases and is equal to price A perfectly competitive firm seeking firm seeking to maximize its profits would want to maximize the difference between its price and its marginal cost In perfect competition, at a firm short-run profit-maximizing output, its price could be greater or less than average cost. The minimum price at which a firm would produce in the short run is the point at which Place equals the minimum point on its average valuable cost curve. If a perfectly competitive firm finds the price is greater than AVC but less than ATC at the quantity where its marginal cost equals the market price, the firm will produce in the short run but may eventually go out if business. The short-run supply curve of a perfectly competitive firm is its MC curve above the minimum point of AVC. And increasing-cost industry, an unexpected increase in demand would lead to what result in the long run? Higher costs and a higher price In an increasing-cost industry, an increase in industry demand would lead to _________ in the number firms and in ________ firms' average cost curves in the long run. an increase; an upward shift Pure monopoly is defined as an industry consisting of a single seller Which of the following is inconsistent with monopoly? free entry and exit The monopolistic demand curve is downward sloping. In monopoly, the firm cannot set both its price and the quantity sold; if the monopolist reduces output, the price will rise, and if the monopolist expands output, the price will fall. A profit-maximizing monopolist sets output where marginal cost equals marginal revenue. If a profit-maximizing monopolist is currently charging a price on the inelastic portion of its demand curve, it should raise price and decrease output. If a monopolist had zero marginal cost of production, it would maximize profits by choosing to produce a quantity where demand was unit elastic Monopoly is unlike perfect competition in that A monopolist's place is greater than marginal cost. A price-taking firm and a monopolist are alike in that both maximize profits by choosing an output where marginal revenue equals marginal cost, provided that place exceeds average valuable cost. Which of the following is true a perfect competition but not true of monopoly? Marginal revenue equal price. Objections to monopolies do not include which of the following? They reduce the price below what would be charged in perfect competition. A natural monopoly is defined as an industry in which one firm can produce the entire industry output at a lower average cost than can 2 or more firms If regulators set a price according to marginal cost pricing, the firm will suffer an economic loss.
Average cost placing for a natural monopoly will Result in less than socially effective level of output. A price monopolist will tend to charge a lower price to students if it believes that students demand is more elastic than that of other demanders. Which of the following is not true of successful price discriminators? They could make greater profits by charging everyone a higher, uniform price. Price discrimination may be a rational strategy for a profit-maximizing monopolist when It can separate willingness to pay across customers. Which of following is not a source of product differentiation? Differences in quantities that firms offer for sale Which of the following characteristics do monopolistic competition and perfect competition having common? Competing firms can enter the industry easily Firms in monopolistically competitive industries cannot earn economic profits in the long run because Economic profits will attract competitors whose presence will eliminate profits in the long run. In the long run, firms in monopolistic competition do not attaid productive efficiency because they produce at a point to the left of the low point of their long-run average total cost curve. In the long run, firms in monopolistic competition do not attend allocative efficiency because they do not operate when price equals marginal cost. Compared to perfect competition, firms in monopolistic competition in the long run produce less output at a higher cost. ... ... Sets with similar termsch. 8,9,1087 terms plumz80 Econ 40 - Exam 352 terms mac7chavez ECON EXAM 3 (11,12,13,14,15) Practice Questions96 terms nsimp Sets found in the same folderExam 1 (Ch 1, 4, 5)72 terms Lexy123Kid Exam 2 (Chapters 6, 8, 10, 11)117 terms Lexy123Kid Exam 4 (Ch 15, 17)53 terms Lexy123Kid Other sets by this creatorKiely Presentation2 terms Lexy123Kid Chapter 5, 6, 716 terms Lexy123Kid Chapter 1, 2, 3, 413 terms Lexy123Kid Quantitative Business Methods Ch 2, 3, 516 terms Lexy123Kid Other Quizlet setsPrinciples of Biology II Midterm Study Guide137 terms goth_bones AP Psych Unit 3 Test97 terms nwa33730 SECOND EXAM: CH 4.353 terms Sophia123587 Hepatic/GI : Pharmacology of PUD/GERD : Bishop (Te…28 terms Coleaustin How is monopoly different from perfect competition quizlet?How is monopoly different from perfect competition? Perfect competition involves markets with no market power that respond to market price, unlike monopolies that have plenty of market power by producing all output in a market.
How is monopoly different from perfect competition?Key Takeaways:
In a monopolistic market, there is only one firm that dictates the price and supply levels of goods and services. A perfectly competitive market is composed of many firms, where no one firm has market control.
How does a monopoly differ from a perfectly competitive industry with the same costs *?In a perfectly competitive market, price equals marginal cost and firms earn an economic profit of zero. In a monopoly, the price is set above marginal cost and the firm earns a positive economic profit. Perfect competition produces an equilibrium in which the price and quantity of a good is economically efficient.
What is the main difference between a monopoly and monopolistic competition quizlet?What is the main difference between a monopoly and monopolistic competition? Monopolistic competition is characterized by an industry with many firms, differentiated products and easy entry and exit, while monopoly is a single firm with high barriers to entry.
|
A monopoly is different from a perfectly competitive firm in that a monopoly Quizlet
zusammenhängende Posts
Urheberrechte © © 2024 paraquee Inc.
