1
answer
0
watching
167
views
28 Sep 2019
- Explain the concepts of explicit costs and implicit costs. Why do economists include implicit costs in their calculation of profits?
- If monopolistically competitive firms have some control over the prices they charge, why do they experience zero economic profits in the long run? What does this mean for society as a whole in terms of costs to produce the product and resources allocation?
- Explain why a firm maximizes its total profits by producing where MC = MR. To answer this question completely, you should explain why output levels greater than and less than the level where MC = MR do not maximize profits.
- Explain the concepts of explicit costs and implicit costs. Why do economists include implicit costs in their calculation of profits?
- If monopolistically competitive firms have some control over the prices they charge, why do they experience zero economic profits in the long run? What does this mean for society as a whole in terms of costs to produce the product and resources allocation?
- Explain why a firm maximizes its total profits by producing where MC = MR. To answer this question completely, you should explain why output levels greater than and less than the level where MC = MR do not maximize profits.
1
answer
0
watching
167
views
For unlimited access to Homework Help, a Homework+ subscription is required.
Insha FatimaLv10
28 Sep 2019