Supply Curve

A) In the long-run in perfectly competitive industries the (long-run) supply curve of the industry can be derived. Explain likely outcomes (slopes) of long-run supply curve in various situations B) Explain economies of scale. What are the major reasons for this phenomenon? What are the likely slopes (shapes) of the long-run a ...continues

Definition of microeconomics, issues covered by microeconomics.

What is microeconomics? What are the issues covered by microeconomics?

Price, quantity and profits

12) You are the manager of a small pharmaceutical company that received a patent on a new drug three years ago. Despite strong sales ($125million last year) and a low marginal cost of producing the product ($0.25 per pill), your company has yet to show a profit from selling the drug. This is, in part due to the fact that the c ...continues

Price, quantity and profits

Do you anticipate an earning or loss. I wanted all the calculations with the approach that you used.

Textbook:- Economics-The Essentials Chapter-2 Synopsis

How supply and demand analysis can be extended to illuminated many issues such as low incomes in agriculture and the pattern of taxation by government; How selfish behaviour in a market system acts like the "invisible hand" of a social planner to allocate society's resources efficiently; and How the invisible hand fights back ...continues

Profit maximization

"And they also say that the growth of promising but costly technologies like supercomputers and aircraft have begun to test the classical view of competition among nations, because no more than a few nations might ever establish footholds in industries born of these technologies." How might we interpret this statement in term ...continues

Firm size and competition.

Historically, product markets were dominated by large firms and service markets by small firms. This seems to have reversed itself somewhat in recent years. What factors might have been at work?

Boundaries of firms.

23. How do you expect the boundaries of firms doing business in developing countries to change, as these countries continue to grow and prosper? [hint: how will the demand for specific assets change in these countries?]

Understanding the relationships between profit or loss, quantity supplied, cost and price.

How can I determine the profit or loss when I am only given price?

marginal utility, pricing policy, demander's behavior

1. simple dispensing machines offer opportunites for consumers to take numerous copies for the price of 1 copy. why do consumers usually take only one copy? 2. the price of a seasonal pass to six flags great adventure is not much more than a weekly pass. why is this a reasonable pricing policy? 3. Tim eats only burgers a ...continues