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Difference between firms's demand curve and industry demand curve in Perfect competition?
Wiki User
∙ 12y ago
Regard the "move-up"s of the whole industry's demand curve as a "dynamic process" at different times. When it happens to intersect with supply curve under perfect competition, we get the equilibrium price and quantity. At this time, firms seem like find their best "time" in the "dynamic process". So during this "time", the price for firms is perfect elastic because neither consumers would buy the product at a higher price nor firms would sell the product at a lower price. To sum up, the difference is -- the firm has a horizontal demand curve while the industry has a down-slope one under perfect competition.
Wiki User
∙ 12y ago
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What is difference between perfect competition and oligopoly?
the difference between perfect and imperfect oligopoly
What conditions does competition occur?
What is the difference between perfect competition and pure monopoly
A significant difference between perfect competition and monopolistic competition is that?
Product differentiation
What is the Difference Between Pure Competition and perfect Competition?
In imperfect competition the producer is the price maker whereas in perfect the producer is the price taker. In imperfect no new competitors enter the industries hence super normal profits will continue to be realised, unlike in perfect comp
Is monolistic competition closer to perfect competition?
Yes, although there are differences. One difference between monopolistic competition and perfect competition is the type of product. Perfect competition means that firms sell identical (or homogeneous) products. Firms in a monopolistically competitive industry sell products that are slightly different. Product differentiation may be based on product quality, customer support, variety, flavor, or other aspects of the product that matter to consumers. In both market structures, there are many buyers and sellers, perfect information, and free entry and exit. Also, economic profit is zero in long-run equilibrium, although only perfect competition results in an efficient outcome with minimum average total cost and marginal benefit equal to marginal cost. The other two market models, monopoly and oligopoly, both involve industries dominated by a single firm or only a few firms and there are probably barriers that prevent new firms from entering the industry to drive down profits.
What is difference between perfect competition and oligopoly?
the difference between perfect and imperfect oligopoly
What conditions does competition occur?
What is the difference between perfect competition and pure monopoly
A significant difference between perfect competition and monopolistic competition is that?
Product differentiation
Which is the main difference between perfect competition and monopolistic competition?
In monopolistic competition, sellers can profit from the differences between their products and other products.
What is the difference between an imperfect and perfect market?
Perfect markets refer to markets where there is competition and sellers are price takers. An imperfect market refers to markets that have a dominant seller and they are able to set the price.
What is the Difference Between Pure Competition and perfect Competition?
In imperfect competition the producer is the price maker whereas in perfect the producer is the price taker. In imperfect no new competitors enter the industries hence super normal profits will continue to be realised, unlike in perfect comp
What is the difference between industry and market?
what is the differences between Industry and Market
Is monolistic competition closer to perfect competition?
Yes, although there are differences. One difference between monopolistic competition and perfect competition is the type of product. Perfect competition means that firms sell identical (or homogeneous) products. Firms in a monopolistically competitive industry sell products that are slightly different. Product differentiation may be based on product quality, customer support, variety, flavor, or other aspects of the product that matter to consumers. In both market structures, there are many buyers and sellers, perfect information, and free entry and exit. Also, economic profit is zero in long-run equilibrium, although only perfect competition results in an efficient outcome with minimum average total cost and marginal benefit equal to marginal cost. The other two market models, monopoly and oligopoly, both involve industries dominated by a single firm or only a few firms and there are probably barriers that prevent new firms from entering the industry to drive down profits.
What is the difference between Semiconductors Industry and Electronics Industry?
semiconductors
What is the difference between industry and factory?
A factory is one kind if industry location
What best states the main difference between a monopoly and pure competition?
A monopoly involves no competition at all while pure competition involves a high level of competition.
What best states the main difference between monopoly and pure competition?
A monopoly involves no competition at all while pure competition involves a high level of competition.
