1.In deriving the short-run industry supply curve (the sum of firms marginal cost curves), we assumed that...
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1.In deriving the short-run industry supply curve (the sum of firms’ marginal cost curves), we assumed that input prices are constant because competitive firms are price-takers. This same assumption holds in the derivation of the long-run industry supply curve. Do you agree or disagree? Explain.
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Principles Of Economics
ISBN: 9780135161104
13th Edition
Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster
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