This assignment will enable you to:
Create graphs and tables to illustrate costs and revenues for firms in different market structures
You have learned about the market structures of pure competition, monopoly, monopolistic competition, and oligopoly. In this assignment, you will apply this learning to create cost and revenue graphs for businesses in these different market structures.
Think of four businesses, each operating in one of these market structures. Then, do the following:
Create the revenue data for each business. Be sure to include all the data that could have an impact on the business' operations and profits.
Determine the cost data for each business, both in the short and long run. Again, be sure to include all types of costs that can influence the operating and profit maximization decisions of the business.
Create any supporting data that you require, and list the assumptions that you make for each business in the short and long run.
Analyze the costs of each business for the short run and the long run. What conclusions can you draw about the business' operations and profits in the short and long run?
Plot the revenue and cost data for each business on a graph. You need to do this for the short and long run, thus creating eight graphs in all.
Determine the price, output, and profit/loss for each business in the short and long run.
Analyze the graphs and briefly describe the similarities and differences between the short and long run operations of each business.