Why does the supply curve of the perfectly competitive industry shift to the right whenever a new firm enters the industry?
The supply curve of the competitive industry in the short run is derived by summing the short-run supply curves of all the firms in the industry horizontally. This adding-up process indicates that the supply curve of the industry will shift to the right whenever a new firm enters the industry.
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When the reserve requirement is increased, the excess reserves of member banks are ________.
A. reduced, but the multiple by which the commercial banking system can lend is unaffected B. reduced and the multiple by which the commercial banking system can lend is reduced C. reduced and the multiple by which the commercial banking system can lend is increased D. increased and the multiple by which the commercial banking system can lend is increased
As of the end of 1994, which of the countries in our survey had the largest proportion of stock held by individuals?
A) The United Kingdom B) The United States C) Japan D) Germany
Ask your grandparents about their first love and they would probably remember it well. Ask about the second, and it would probably draw a blank. Think in terms of utility analysis and their responses come as no surprise because what they remember or don't remember, even about love, reflects the
a. same idea that is associated with the water and diamond paradox b. law of maximizing utility c. law of diminishing marginal utility d. idea that utility is very durable over time e. fact that total utility must be declining
Which of the following would be considered a contingent? contract?
A) a piece rate contract B) a profit-sharing contract C) a contact with a bonus D) All of the above.