Pure monopoly firm operates in purely competitive industry

In spite of of whether a firm is a pure monopoly or operates within a purely competitive industry as: (i) this should expect total revenue to cover total variable costs or this will not operate. (ii) the demand curve this faces will be horizontal in the long run. (iii) this cannot generate economic profit unless barriers to entry protected this from potential rivals. (iv) decisions by the firm’s executives invariably reflect the goals of the firm’s owners. (v) this should produce in a technically efficient way or this will not survive.

How can I solve my Economics problem? Please suggest me the correct answer.

View Complete Question

Related Questions in Microeconomics

Q : Product differentiation in conduct

Several market structures may pivot around goods which are heterogeneous, however the only market structure that absolutely needs goods to be differentiated within the minds of consumers of: (1) perfect competition. (2) pure competition. (3) monopolistic competition.

Q : Competitive market Select the right

Select the right answer of the question. A competitive market will: A) achieve an equilibrium price. B) produce shortages. C) produce surpluses. D) create disorder.

Q : Increase profit of cartel-member A

A member of a cartel would be probably to increase its profits by: (1) undercutting the prices of other cartel members when this did not get caught. (2) setting its price above which of other cartel members. (3) aggressive nonprice marketing promotion

Q : Economic good becomes an economic bad

Economic good becomes an economic bad whenever consumption is expanded into an area where: (1) Marginal returns are reducing. (2) Sellers experience an honest hazard. (3) Marginal utility is negative. (4) Buyers suffer from unfavorable choice. (5) Exc

Q : Make economic profits by

A profit-maximizing monopolist will certainly be capable to generate economic profits when, at certain level of output: (w) average fixed costs [AFC] are very high. (x) average total costs [ATC] lies above the demand curve. (y) averag

Q : Kinked demand curve model of

The kinked demand curve model of oligopolistic pricing behavior reflects the concept which: (1) price hikes fail to accommodate small hikes in costs. (2) other firms ignore price hikes by single firms. (3) other firms match any price cuts by any singl

Q : Strategic barriers to entry Extensive

Extensive national advertising can be a form of: (1) natural barrier. (2) strategic barrier. (3) regulatory barrier. (4) price discrimination. (5) moral hazard. Can anybody suggest me the proper explanation for given problem regard

Q : Long-run competitive pressures in

When economic losses are widespread within a purely competitive industry, in that case long-run competitive pressures tend to cause: (i) accelerating economic losses. (ii) prices to fall while firms leave the industry. (iii) productio

Q : Legal form of business in United States

Can someone help me in finding out the right answer from the given options. Which of the given below is not a legal form of the business in United States? (1) Partnership. (2) Corporation. (3) Limited partnership. (4) Producer cooperative. (5) All the above are

Q : Normative Criteria for Income

The most compatible along with capitalism of the normative criteria for income distribution, which is the: (1) contribution standard. (2) gold standard. (3) needs standard. (4) balanced standard. (5) equality standard.

Discover Q & A

Leading Solution Library

Avail More Than 1435318 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1953547
Asked

3,689

Active Tutors

1435318

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment