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vlada-n [284]
3 years ago
13

The model of competitive markets relies on these three core assumptions: 1. There must be many buyers and sellers—a few players

can't dominate the market. 2. Firms must produce an identical product—buyers must regard all sellers' products as equivalent. 3. Firms and resources must be fully mobile, allowing free entry into and exit from the industry.
Business
1 answer:
iren [92.7K]3 years ago
4 0

Answer:

A Perfectly competitive market

Explanation:

To answer the question above, the model of competitive market is called A Perfectly competitive market.

A perfectly competitive market is a hypothetical market where competition is at it's greatest possible level. Neo-classical economist argued that perfect competition would produce the best possible outcomes for consumers, and society.

An industry structure in which there are many firms, none large enough to influence the industry, producing homogeneous products. Firms are price takers. There are no barriers to entry . Agriculture comes close to being perfectly competitive.

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Japan and other market-based economies enjoy economic growth, but also face greater risks due to:.
OLEGan [10]

Japan and other market-based economies enjoy economic growth, but also face greater risks due to deregulation.

As we can see some other countries which face slowing down in 2008. They also made some deregulation in the economy. Japan is a developed economy and has greater potential.

An example of deregulation would be if the authorities removed this regulation. So human beings are loose to put on or not put on the seatbelt without the chance of punishment. This additionally extends into the commercial enterprise international. For instance, the removal of the minimum wage might be an example of deregulation.

Deregulation is the elimination or reduction of government regulations in a specific enterprise. The goals are to permit industries to function as agencies more freely, make decisions efficaciously, and remove corporate restrictions.

Some argue that deregulation promotes economic increase by making it less complicated for agencies to do enterprise, growing loose-market opposition, and decreasing costs. Others point out that an excessive amount of deregulation can damage clients and their surroundings. Rules for agencies exist at each degree of the presidency.

Learn more about deregulation here brainly.com/question/4676885

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8 0
2 years ago
Current Attempt in Progress Restate the following income statement for a retailer in contribution format. Sales revenue ($100 pe
Komok [63]

Answer:

<u>Contribution Margin Income Statement for the year end MM DD, YY</u>

                                                                      $                $

Sales revenue ($100 per unit)                                    66,000

Less: Variable Cost

Less cost of goods sold ($56 per unit)   36,960

Commissions expense ($6 per unit)         3,960

Shipping expense ($3 per unit)               <u>  1,980  </u>

                                                                                   <u>  42,900 </u>

Contribution Margin                                                    23,100

Less: Fixed Cost

Salaries expense                                        7,900

Advertising expense                                <u>  5,800  </u>

                                                                                   <u>  13,700 </u>

Net Income                                                                 <u>  9,400</u>

5 0
3 years ago
Pittman Company is a small but growing manufacturer of telecommunications equipment. The company has no sales force of its own;
valentinak56 [21]

A)Degree of operating leverage=Contribution/EBIT

=6400,000/2140000=2.99.

B) Degree of operating leverage=Contribution/EBIT

=5600,000/1340000=4.18

C) Degree of operating leverage=Contribution/EBIT

=7600,000/1015000=7.49

One conclusion that companies can draw from examining operational leverage is that companies that minimize fixed costs can increase profits without changing selling prices, contribution margins, or unit sales.

The Operating Leverage formula is used to calculate a company's break-even point, helping to set a reasonable selling price that covers all costs and produces a profit. This gives you insight into how well your company is using fixed-cost items such as inventory and machinery to make a profit. The more profit a company can extract from the same amount of fixed assets, the higher its operational leverage.

Learn more about operating leverage at

brainly.com/question/24278932

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4 0
1 year ago
The roles of money Sam just graduated from college and is now in the market for a new car. He has saved up $4,000 for a down pay
Mashutka [201]

Answer:

Explanation: Money is a medium of exchange for goods and services. Money plays a large role in the economy and in the life of an individual.

The role of money include:

1. Medium of Exchange: Money is used to facilitate the sale, purchase, or trade of goods between parties. It is used as a medium of exchange for goods and services that is why Sam had to save some money so that he will have access to the car he wants.

2. Unit of Account: The value of something is measured in a specific currency. From the question, the value of each car was stated using a value of money. This will enable the buyer or seller known the value if what is to be bought or sold.

3. Store of Value: A store of value is something that people use to transfer purchasing power from the present to the future. Here, Same had saved some money which did not change in value as at when he wanted to buy the car and he also had to obtain a loan that would be paid off on a later date.

4 0
3 years ago
What is the primary initiatives of a free enterprise system
Leno4ka [110]

Answer:

the freedom for individuals to choose businesses, the right to private property, profits as an incentive, competition, and consumer sovereignty.

Explanation:

7 0
3 years ago
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