The difference between the short‐run and the long‐run in a monopolistically competitive market is that in the long‐run new firms can enter the market, which is
the remaining firms will return to normal profitability. Hence, the long-run equilibrium for monopolistic competition exists whenmarket price = average total cost, where marginal revenue = marginal cost, as shown in the diagram below. Remember, in economics, theaverage total cost ...
1) Describe/Explain Monopolistic Competition; how do profits get "squeezed" in the short run and what is the most likely outcome in the long run. 2) Calculate profits in a duopoly under cartel pricing Draw the graph for monopolistic competition in the long run (...
Answer to: Explain the long-run equilibrium situation for a monopolistically competitive industry. Give two examples of industries that fit under...
国外学经济的进,关于perfect competition and monopolistic competition(A)What are the main difference between perfect competition and monopolistic competition market structures?(B)Compare and contrast over the long-run if subnormal profits are being made in short-run.(use diagrams to help explain your an...
1) In the short run what is the similarity in relation to profits in a monopoly and a monopolistic competitive market? Is there a difference in the long run? Explain (graph might be helpful) 2) Expl Explain how the very nature of competition will, over...
Business Economics Monopolistic competition How do monopolistically competitive firms make short-run and long-run choices?Question:How do monopolistically competitive firms make short-run and long-run choices?Monopolistic Competition:Monopolistic competition is a kind of competition in which...
How do monopolistically competitive firms make short-run and long-run choices? What generally happens to profits for the typical firm in the long run under perfect (or pure) competition? A perfect competitor can reap an economic profit a. in the short run. b. in the long run....
Graph the situation of a monopolistic competitor in the short-run, and in the long-run. Explain.Which of the following distinguishes the short run from the long run in pure competition? a. Firms can enter and exit the market in the long run, but not in the short run....
Here is some information regarding the market for titanium. It's a purely competitive market, which means that each firm is identical. The cost information for every firm is given in this graph: The demand schedule is: GIven that information, answer these questions: ...