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How do I find the area of a circle C with diameter 14cm?

The formula for the area of a circle is π r 2 . To use this formula we first need to find r, the radius of the circle. The radius is the distance from the centre of the circle to the edge, and is equal to ha...
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Answered by Tamsyn H. • Maths tutor
26112 Views

List and explain some ways in which a monopolistic firm can use it's lower costs as a barrier to entry.

Monopolistic firms often experience Economies of Scale which makes their average total costs lower than competitors. This can create significant abnormal profit and can create barriers through: Predatory pri...
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Answered by Reubin B. • Economics tutor
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What is meant by an oligopoly being both interdependent and uncertain in their price strategies?

Oligopolies are interdependant as the success of their price strategy relies on the reaction of other oligopoly firms in the market. If an oligopoly decided to increase the price of it's output, they would o...
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Answered by Reubin B. • Economics tutor
32791 Views

Explain how the diagram for a perfectly competitive firm demonstrates static efficiency.

Productive efficiency can be demonstrated by the firm's price relative to the Short Run Average Total Costs curve. By selling output at P 1 , (where MR=MC), it is selling at the minimum point on the SRATC cu...
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Answered by Reubin B. • Economics tutor
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Why might a perfectly competitive firm make abnormal profit in the short run but only normal profit in the long run?

In the short run there is a lack of firms in the industry as it is still new and firms have little incentive to enter it yet. This low supply of firms in the market means the market ruling price will be grea...
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Answered by Reubin B. • Economics tutor
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