(a) What are the basic assumptions that need to be satisfied for a market to be called perfectly competitive? List them one after the other. (b) What must be satisfied (in the general case) for a firm to be maximizing profit in the short run? (That is, what condition must hold at the profit-maximizing output level for a general firm in the short run?

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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(a) What are the basic assumptions that need to be satisfied for a market to be called perfectly competitive? List them one after the other.

(b) What must be satisfied (in the general case) for a firm to be maximizing profit in the short run? (That is, what condition must hold at the profit-maximizing output level for a general firm in the short run?)

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