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The demand curve in a perfectly competitive market is U-shaped owing to the fact that as the economies of scale take effect average costs begin to lower down. Finally though, the diseconomies of scales take effect too thereby causing the average costs to go up hence creating a u-shape for the demand curve.
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What factors determine the shape of the long run supply curve in perfect competition?
The shape of the long run supply curve in perfect competition is determined by factors such as technology, input prices, and economies of scale. These factors influence the ability of firms to produce goods efficiently and at different levels of output, which in turn affects the overall shape of the supply curve.
What is the demand curve faced by a pure monopolist?
The demand curve faced by a pure monopolist is of downward sloping in shape.
What is the shape of a market demand curve?
Usually market demand curves are downward sloping.
What factors contribute to the shape of a unit elastic demand curve for a product?
The shape of a unit elastic demand curve for a product is influenced by factors such as the availability of substitutes, the necessity of the product, and the proportion of income spent on the product.
What is the explanation for the shape of the demand curve?
It is a slope that goes downwards from left to right.
What factors determine the shape of the long run supply curve in perfect competition?
The shape of the long run supply curve in perfect competition is determined by factors such as technology, input prices, and economies of scale. These factors influence the ability of firms to produce goods efficiently and at different levels of output, which in turn affects the overall shape of the supply curve.
What is the demand curve faced by a pure monopolist?
The demand curve faced by a pure monopolist is of downward sloping in shape.
What is the shape of a market demand curve?
Usually market demand curves are downward sloping.
What is the shape of the market demand curve?
Usually market demand curves are downward sloping.
When demand curve for commodity of a rectangular shape?
The demand curve cannot be of a rectangular shape since that would imply that the demand is the same at two different price levels even though other factors remain the same.
Why womans wearing bra under blouse?
to shape her curve perfect...
What factors contribute to the shape of a unit elastic demand curve for a product?
The shape of a unit elastic demand curve for a product is influenced by factors such as the availability of substitutes, the necessity of the product, and the proportion of income spent on the product.
What is the explanation for the shape of the demand curve?
It is a slope that goes downwards from left to right.
Would you ever get a normal curve bell shape that is perfect?
Only in theory.
What factors influence the shape of the market demand curve for a public good?
The shape of the market demand curve for a public good is influenced by factors such as the level of individuals' willingness to pay for the good, the number of people who benefit from the good, and the availability of substitutes for the good.
Why is it difficult to judge elasticity of demand or supply if you are merely observing the appearance of a demand or supply curve on a graph?
Because it is basically curved shape, therefore, there are points/areas on the curve where the demand or supply will be elastic and on some other parts be inelastic. At the top of the curve, demand/supply tends to be inelastic and at the bottom of the curve, it tends to be elastic. Obviously, the more you go up the more we reach the perfectly inelastic demand/supply and the further you go down the curve, the more you reach the perfectly elastic demand/supply
Will demand curves have the same exact shape in all markets?
No, demand curves will not have the same exact shape in all markets. The shape of a demand curve depends on various factors, including consumer preferences, the availability of substitutes, income levels, and the nature of the good or service (e.g., necessities versus luxuries). Additionally, different markets may exhibit varying elasticities of demand, leading to differences in slope and curvature. Thus, while some general trends may exist, each market will have its unique demand curve characteristics.
