How do we derive the short-run market supply curve in perfect competition?
What will be an ideal response?
The short-run market supply curve is the horizontal sum of each individual firm's supply curve. That is, the amount supplied by the total market equals the sum of what each firm in the industry supplies at a given price.
You might also like to view...
If two countries are economically identical except that there is significant air and water pollution in one, then the level of GDP:
A. will be the same in both countries. B. will be higher in the country with no pollution. C. will be greater than the level of economic well-being in each country. D. will be higher in the country with pollution.
According to economic reasoning, you should offer one hour of volunteer service per week when
What will be an ideal response?
Inflation
What will be an ideal response?
When price was 6, quantity demanded was 10. When price decreased to 5, quantity demanded increased to 13. Therefore, when price decreased, total revenue
A. decreased from 65 to 60, indicating that demand is inelastic. B. increased from 60 to 65, indicating that demand is inelastic. C. decreased from 65 to 60, indicating that demand is elastic. D. increased from 60 to 65, indicating that demand is elastic.