58 833
Assignments Done
Successfully Done
In March 2018
Your physics homework can be a real challenge, and the due date can be really close — feel free to use our assistance and get the desired result.
Be sure that math assignments completed by our experts will be error-free and done according to your instructions specified in the submitted order form.
Our experts will gladly share their knowledge and help you with programming homework. Keep up with the world’s newest programming trends.

Answer on Economics of Enterprise Question for pravin

Question #36353
Suppose your firm produces chocolates in a perfectly competitive market and is currently earning zero economic profits. Suppose there is an increase in demand for chocolates after researchers discover that chocolate consumption decreases baldness.
Analyze the short and long-run effects of this increased demand on your firm.
Expert's answer
In the short-run the increase in demand will increase the equilibrium price, so the firm will become profitable. But in the long-run all the firms and our firm too will again have zero profit, because new firms will enter the market, as they can gain profits.

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!


No comments. Be first!

Leave a comment

Ask Your question