A firm in perfect competition has zero power.
In perfect competition, there are no barriers of entry and exit.
Is money an example of perfect competition?
The supplier will cut back on production if is greater than .
The marginal cost curve is the firm's supply curve above the point where exceeds .
Profit maximization (Formula)
MC=AC
MC=AR
MC=MR
Productive efficiency (Formula)
Allocative efficiency (Formula)
Normal profit is minimum profit that allow current profits to stay in use.
Is lack of motivation one of the reason for diseconomies of scale?
Yes
No
