Answer to Question #76856 in Economics for SHEHZAAD

Question #76856
6.1 The goal of any firm is to maximise profit, discuss the two (2) rules of profit maximisation for a firm. (15 marks)
6.2 Discuss ANY FIVE (5) features of a firm under oligopoly. (5 marks)
1
Expert's answer
2018-05-06T12:17:08-0400
6.1 The goal of any firm is to maximise profit, so the two rules of profit maximisation for a firm are: shut-down rule (firm should cover at least its variable costs, P > AVC) and marginalist rule (marginal cost should equal to marginal revenue, MR = MC = P).
6.2 FIVE features of a firm under oligopoly are: advertising, interdependence of firms, group behaviour, barriers to entry and competition.
Source:
https://www.economicsdiscussion.net/oligopoly/top-9-characteristics-of-oligopoly-market/7342

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!

Comments

No comments. Be the first!

Leave a comment

LATEST TUTORIALS
New on Blog
APPROVED BY CLIENTS