Purely competitive firms in increasing cost industries

When purely competitive firms operate within increasing cost industries, several: (1) individual firms’ supply curves should be horizontal. (2) firms should experience decreasing returns to scale at low output levels. (3) specialized resources probably have upward-sloping supply curves. (4) firms are probable to become natural monopolies. (5) potential economies of scale are not being exploited. (6) long run fixed costs increase while market demand grows.

Hello guys I want your advice. Please recommend some views for above Economics problems.

View Complete Question

Related Questions in Microeconomics

Q : Falling probably interest rate The

The interest rate will probably fall when households decide to: (w) consume more currently, shrinking the loanable funds obtainable for business investments. (x) buy new homes in place of restoring their old ones. (y) increase the liquidity of their a

Q : Open Shop-union membership Firms which

Firms which employ workers devoid of needing any form of either union membership or dues are the: (i) Agency shops. (ii) Laissez-faire shops. (iii) Union shops. (iv) Closed shops. (v) Open shops. Can someone please help me in findi

Q : Profit-maximizing pure competitor in

For a profit-maximizing pure competitor in the short-run equilibrium: (w) P = MC = MR. (x) MC = minimum AC. (y) MR > P. (z) only normal profits will be earned. Hey friends please give your opini

Q : Intersection of demand and supply curves

What determines the intersection of demand and supply curves?

Q : Uy what is basic objects of bretton

what is basic objects of bretton woods?

Q : Production costs-Consumer Sovereignty I

I have a problem in economics on Production costs-Consumer Sovereignty. Please help me in the following question. In the market economy, output patterns mainly reflect: (i) Individual votes by each and every consumer. (ii) The requirements of majority

Q : Problem on falling income causes

I have a problem in economics on Problem on falling income causes increase in demand. Please help me in the following question. If falling income causes the demand for a good to rise, it is an: (1) Inferior good. (2) Costly biological necessity. (3) N

Q : Labor Union History-AFL-CIO merger

Preceding to the AFL-CIO merger in the year1955: (i) The AFL was an alliance of the industrial unions. (ii) The CIO was alliance of the craft unions. (iii) Strikes over which the unions would symbolize workers were common. (iv) The union movement was limited to public

Q : Automation and Wage Rates When physical

When physical capital becomes cheaper, in that case: (w) some workers may be displaced but worker productivity usually rises. (x) automation will make jobs for more workers. (y) workers will supply more labor services. (z) labor supply curves will move in backward ben

Q : Determine short-run supply of an

The Christmas tree industry’s short-run supply is demonstrated as: (1) curve A. (2) curve B. (3) curve E. (4) curve F. (5) curve G.

Discover Q & A

Leading Solution Library

Avail More Than 1444134 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1956157
Asked

3,689

Active Tutors

1444134

Questions
Answered

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

Submit Assignment