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Essay

perfectly competitive market

Essay specific features

 

Issue:

Business

 

Written by:

Hazel R

 

Date added:

October 28, 2015

 

Level:

University

 

Grade:

A

 

No of pages / words:

3 / 751

 

Was viewed:

9512 times

 

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Essay content:

The output of each firm, when it is producing at its minimum long-run average total cost, is a small fraction of the industry's total output. Assumption 4. Each firm is a price-taker. This means that each firm can alter its output without significantly affecting the market price of its product. Each firm must passively accept the existing market price, but it can sell as much as it wants at that price...
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Each firm must passively accept the existing market price, but it can sell as much as it wants at that price. Assumption 5. There is freedom of entry and exit, which means that any new firm is free to enter the industry and start producing if it so wishes, and any existing firm is free to cease production and leave the industry...
displayed 300 characters

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