23 After you have studied Economics in the News on pp. 268–269, answer the following questions.

a What are the features of the market for steel that make it competitive?

b Does the information provided in the news article suggest that the steel market is in long-run equilibrium?

Explain why or why not.

c How would a fall in steel workers wage rates change Accelor Mittal’s cost curves and change the market supply curve?

d How would Accelor Mittal’s marginal revenue, marginal cost, average total cost and economic profit change?

e llustrate your answer to part

(c) with an appropriate graphical analysis.

f llustrate your answer to part

(d) with an appropriate graphical analysis.