The increase in demand for soap operas also increases the salaries of actors and actresses. If the soap opera industry is in a perfectly competitive market, what is the supply curve? long term for horizontal or upward-sloping soap operas? Explain.
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The increase in demand for soap operas also increases the salaries of actors and actresses. If the soap opera industry is in a
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- 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 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?Which of the following is an example of a reason why the supply curve for an oil company slopes up? a) Oil is a normal good with lots of substitutes. b) When the price of oil increases, people switch to hybrid cars that use less gasoline, which is made from oil. c) Oil is heavily taxed. d) When the company produces a lot of oil, it has to pay its employees overtime, which increases the marginal cost of making oil. e) Suppliers know that people need to use oil in order to commute to work, so demand is inelastic
- Identify and explain the various factors that can cause a shift in the supply curve for a specific product or industry. Discuss the short-term and long-term implications of these shifts on market equilibrium and pricing.A horizontal supply curve with no slope is considered?Give three examples of goods with a vertical supply curve.
- The market for paperback detective novels is perfectly competitive. Market Demand is given by Q=631-5P. Market Supply is given by P=3+2Q. What is market PRICE? Enter a number only, drop the $ sign.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…Prove the law of supply, which states that when the market price increases, the profit-maximizing sales quantity for a price-taking firm never decreases.
- Problem Following are four graphs and four market scenarios, each of which would cause a shift in either the demand or the supply curve of plastic bottled water. For each scenario, do the necessary changes on the graphs below by showing the new market equilibrium reached. You are also expected to mention the changing factor. An improvement of the water bottling industry occurred lately. The price of glass bottled water increased and this is a substitute in production for the firm. The price of plastic has increased. Assume that plastic bottled water is an inferior good, and that the Kuwaiti economy witnessed an increase in the average household income from 20,000KD to 25,000 KD. Kindly explain in detailA vertical demand curve or supply curve would be called:Suppose the market for quiche is perfectly competitive, so sellers take the market price as given. Hilary manages a restaurant that offers quiche for sale. The following graph plots Hilary's weekly supply curve (orange line). Point A represents a point along her supply curve. The price of quiche 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 0 0 Price Supply 2 4 Hilary's Weekly Supply A 6 8 10 12 14 16 QUANTITY (Slices of quiche) 18 + 20 22 24 Using the previous graph, you can determine that Hilary is willing to supply her 6th weekly slice of quiche for $ per slice, the producer surplus earned from supplying the 6th slice of quiche is $ Suppose the price of quiche were to rise to $3.00 per slice. At this higher price, Hilary would receive a producer surplus of $ slice of quiche she sells. Since she receives $2.25 from the 6th
