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2 years ago

A Perfectly competitive firm’s entire marginal cost curve is its short-run supply curve." Is this statement true or false?

Business

1 answer:

Sphinxa [80]2 years ago

3 0

Answer:

False.

Explanation:

In a perfect competition, there are many buyers and sellers of homogeneous products, and there is free entry and exit in the market.

This simply means that, in a perfectly competitive market, there are many buyers and sellers (price takers) of homogeneous products (standardized products with substitute) and the market is free (practically open) to all individuals or business entities that are willing to trade all their goods and services.

Hence, a perfectly competitive market is characterized by the following features;

1. Perfect information.

2. No barriers, it is typically free.

3. Equilibrium price and quantity.

4. Many buyers and sellers.

5. Homogeneous products.

Examples of a perfectly competitive market are the Agricultural sector, e-commerce and the foreign exchange market

A Perfectly competitive firm’s entire marginal cost curve is not its short-run supply curve but only the portion of the marginal cost (MC) curve of the perfectly competitive firm that lies above its average variable cost (AVC) curve would be its short-run supply curve.

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Dmitri recently lost his job as a waiter at a local restaurant. A recent increase in the minimum wage keeps local employers from

Lelechka [254]

Answer:

B. FALSE

Explanation:

This economy is currently at its natural rate of unemployment because there is no cyclical unemployment

In macroeconomics, full employment is the level of employment rates where there is no cyclical or deficient-demand unemployment.

The economy is considered to be at full employment when the actual unemployment rate is equal to the natural rate.

Hence, it is false to allege that the economy in the given scenario is not currently at its natural rate of unemployment

7 0

2 years ago

Grameen Bank extends credit to the very poor to give them the opportunity to build better lives. Other businesses target poor pe

Dvinal [7]

Explanation:

Grameen bank is one of the pioneers in the world of Micro Finance Institutes, which not only provides the poor with access to financial capital but also helps them build a better business which allows them to escape from the poverty cycle. This lead to an overall upward economic movement in the society, improving the economic condition of a country as a whole. Through these micro finance loans, a number of SMEs (Small and Medium Enterprises) emerges which further provide employment opportunities to other people thus starting a virtuous cycle of economic growth.

As the economic condition of the poor becomes better, these poor people inturn becomes customer for these business for other products thus being a huge source of profit.

8 0

3 years ago

True or false, patients can request a copy of billing records associated with their care

balandron [24]

True customers come first.

Hope this helped :)
-Warning2

6 0

3 years ago

Which of the following is not a function of prices in a market system? Group of answer choices Prices send signals to buyers and

Sedaia [141]

Answer:

Prices ensure an equal distribution of goods and services among consumers.

Explanation:

The price mechanism helps in the efficient allocation of resources. There are a number of functions performed by the price mechanism. Prices send signals regarding resources. An increase and decrease in prices reflect surplus and deficit.

Price balances the demand and supply of a product. Price is inversely related to demand and positively related to the supply of a product. It is determined by the interaction of demand and supply and helps in balancing supply and demand.

For instance, an increase in demand would increase the price, this higher price will motivate the suppliers to increase quantity supplied thus balancing demand and supply.

Price helps in coordinating economic activities and helps buyers and sellers in decision making. However, they do not help in equal distribution of goods and services among consumers.

6 0

2 years ago

2 points Time Remaining 23 minutes 4 seconds00:23:04 eBookItem 7 Time Remaining 23 minutes 4 seconds00:23:04 On April 30, Gomez

mash [69]

Answer: $51,400

Explanation:

Credits to Accounts Receivable represent a reduction in the Accounts receivable amount.

The formula for Closing balance is:

Closing balance = Opening balance + Credit sales - Credits to accounts receivable

Making Credit sales the subject will make the formula:

Credit sales = Credits to account receivable + Closing balance - opening balance

= 56,800 + 17,000 - 22,400

= $51,400

6 0

3 years ago