Which of the following properties characterizes a perfectly competitive market? [(i) through (iv) are the properties; you will choose from options a, b, c, or d as your answer]. (i) Many buyers and many sellers. (ii) Perfectly inelastic demand curves for the individual producers. (iii) Goods offered for sale are identical with perfect substitutes. (iv) All producers are price takers.
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Which of the following properties characterizes a
[(i) through (iv) are the properties; you will choose from options a, b, c, or d as your answer].
(i) Many buyers and many sellers.
(ii) Perfectly
(iii) Goods offered for sale are identical with perfect substitutes.
(iv) All producers are price takers.
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- 20) In a given market, a competitive equilibrium is described byA) a price only.B) a quantity only.C) the excess supply minus one half of the excess demand.D) the excess supply plus one half of the excess demand.E) a price and a quantity.Draw supply and demand curves. Now suppose both curves shifted. Illustrate a case for which market equilibrium price is higher and quantity is lower after the shifts of the curves.The market for paperback detective novels is perfectly competitive. We have two types of consumers in the market- Regular and Occasional readers. Each Regular reader's demand curve is given by P=79-2Q. Each Occasional reader's demand curve is given by Q=93-5P Suppose there is only 1 reader of each type. What is market demand when market price is $68?
- The market for paperback detective novels is perfectly competitive. We have two types of consumers in the market- Regular and Occasional readers. Each Regular reader's demand curve is given by P=74-2Q. Each Occasional reader's demand curve is given by Q=94-6P Suppose there is only 1 reader of each type. What is market demand when market price is $59? Enter a number only. Remember, fractions of goods are possible.The market for Ramen noodle bowls is perfectly competitive. Market demand is given by P=55-4Q. If the price for a bowl of noodles is $21 how many units are demanded in the market? Enter a number only. Remember, fractions of goods are possible.= = 41. Suppose that the market for cigarettes is initially in equilibrium and is perfectly competitive. The demand curve can be expressed as P 60Qd; the supply curve can be expressed as P 0.5Qs. Quantity is expressed in millions of boxes per month. What are the amount traded and the price for this market? a) Q = 40; P = 20 b) Q = 20; P = 40 c) Q = 30; P = 30 d) Q = 30; P = 15
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- Suppose the market for sourdough is perfectly competitive, so sellers take the market price as given. Darnell manages a restaurant that offers sourdough for sale. The following graph plots Darnell's weekly supply curve (orange line). Point A represents a point along his supply curve. The price of sourdough is $2.25 per slice, which is given by the black horizontal line. PRICE (Dollars per slice) 9.00 8.25 7.50 6.75 6.00 5.25 4.50 3.75 3.00 2.25 1.50 0.75 Price Supply 0 2 4 XXX Darnell's Weekly Supply 6 A 8 10 12 14 16 18 QUANTITY (Slices of sourdough) 20 22 24 ? Using the previous graph, you can determine that Darnell is willing to supply his 6th weekly slice of sourdough for $ $2.25 per slice, the producer surplus earned from supplying the 6th slice of sourdough is $ Since he receives Suppose the price of sourdough were to rise to $3.00 per slice. At this higher price, Darnell would receive a producer surplus of $ 6th slice of sourdough he sells. The following graph plots the weekly…The market for Ramen noodle bowls is perfectly competitive. Market demand is given by Q=67-3P. If 19 bowls of noodles are demanded in the market, what is market price? Enter a number only. Remember, fractions of goods are possible.The market for a brand of yellow maize is in equilibrium. Explain, with the aid of a separate diagram in each case, the effects which each of the following is most likely to have on the equilibrium position: a) Due to the serious drought, there is a reduction in the aggregate harvest. b) A fall in the price of fertiliser, a key input in the production of the yellow maize. c) The price of beef has gone up tremendously and yellow maize is a key feed for beef animals.