Now consider the long run, in which bike manufacturers are free to enter and exit the market. Show the possible effect of this free entry and exit by shifting the demand curve for a typical individual producer of bikes on the following graph Note: Select and drag the curve to the desired position. The curve will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. PRICE (Dollars per bike) QUANTITY (Bikes) Demand Demand ?
Now consider the long run, in which bike manufacturers are free to enter and exit the market. Show the possible effect of this free entry and exit by shifting the demand curve for a typical individual producer of bikes on the following graph Note: Select and drag the curve to the desired position. The curve will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. PRICE (Dollars per bike) QUANTITY (Bikes) Demand Demand ?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Economics
Transcribed Image Text:Now consider the long run, in which bike manufacturers are free to enter and exit the market.
Show the possible effect of this free entry and exit by shifting the demand curve for a typical individual producer of bikes on the following graph.
Note: Select and drag the curve to the desired position. The curve will snap into position, so if you try to move a curve and it snaps back to its
original position, just drag it a little farther.
PRICE (Dollars per bike)
QUANTITY (Bikes)
Demand.
|
Demand
?
Transcribed Image Text:Note: Select and drag the rectangles from the palette to the graph. To resize, select one of the points on the rectangle and move to the desir
position.
PRICE (Dollars per bike)
100
90
80
70
60
50
40
30
20
10
0
0
MC-
10
ATC
Demand
20 30 40 50 60 70
QUANTITY (Thousands of bikes)
MR
80 90 100
Mon Comp Outcome
Profit
Loss
?
Now consider the long run, in which bike manufacturers are free to enter and exit the market.
Show the possible effect of this free entry and exit by shifting the demand curve for a typical individual producer of bikes on the following gra
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