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because they convey info about rewards people should anticipate experiencing by shifting resources from one activity to another
In a bull market, investors buy stock in expectation of higher profits.
The short answer: entry of new firms and exit of old ones. If profits are positive, new firms will enter the industry, piling in until they compete away all these profits. If long-term profits are negative, firms will exit until the price rises enough so that the firms who stay in the market can break even.
Positive would be: increased profits for raw goods. Negative would be: increased costs for making profits as in slave ownership
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high prices
To maximise on profits and market gap
Market research helps producers earn more profits.
A monopolist must lower its quantity relative to a competitive market to maximize its profits because the monopolist already controls and owns the largest share of the market.
Price of any commodity in the market is estimated depending on the condition of the market. The price cannot be more than what the seller is willing to provide but profits can be maximized through marketplaces adjusting according to the reality of the market.
many firms will earn profits in the short term, but they must constantly innovate and compete to earn profits in the long term
Do market supply curves have negative slopes