a) How does imperfect competition differ from perfect competition? b)  True or False and explain: If a firm in imperfect competition makes economic profit in the short run they can sustain it in the long run. c) True or False and explain: In imperfect competition all firms charge the same price.

Q: In the long-run, any perfectly competitive firm that produces will choose a quantity such that

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Q: In the short run, a purely competitive firm may earn an above-normal profit (above break-even). In…

A: Due to entry of more firms

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Q: What is the profit maximising condition in a market with perfect competition? b) Explain what is…

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Q: Assume that a firm is in a perfectly competitive market in long-run equilibrium. a - What happens to…

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Q: Part a) True or False: In a competetive market, a firm's short run supply curve is sloping upwards…

A: a) In a perfectly competitive market, there are a large number of firms who sell identical products.…

Q: How does a market compete with other firms efficiently to maintain profit in a competitive market…

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Q: Which of the following is true? 1) Since there are few firms that match the conditions assumed in…

A: Introduction Father of modern economics Adam Smith suggested that a free market without government…

Q: Your business, which has some market power, has the following demand (D), marginal revenue (MR),…

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A: A competitive firm is one of many firms producing identical goods. Each firm is a price taker.

Q: What assumptions in the perfect competition model ensure that economic profit is zero in the long…

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Q: a) What is the profit maximising condition in a market with perfect competition?b) Explain what is…

A: The profit maximising condition in a market with perfect competition is when marginal cost equals…

Q: 1. A) What are the underlying assumptions associated with Perfect Competition? B) Explain why firms…

A: A. The assumptions based on the perfect competition are as follows: There are a large number of…

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Q: 8) Which of the following is not a characteristic of a perfectly competitive market structure? A)…

A: In a perfectly competitive market structure, all the following characteristics hold true:-