Firms in Perfectly Competitive Markets 管理经济学 技术方案.pptVIP

Firms in Perfectly Competitive Markets; After studying this chapter, you should be able to: Define a perfectly competitive market, and explain why a perfect competitor faces a horizontal demand curve. Explain how a perfect competitor decides how much to produce. Use graphs to show a firm’s profit or loss. Explain why firms may shut down temporarily. Explain how entry and exit ensure that firms earn zero economic profit in the long run. Explain how perfect competition leads to economic efficiency. ;Firms in Perfectly Competitive Markets;Perfectly Competitive Markets;Perfectly Competitive Markets;How a Firm Maximizes Profit in a Perfectly Competitive Market;How a Firm Maximizes Profit in a Perfectly Competitive Market;How a Firm Maximizes Profit in a Perfectly Competitive Market;Profit = (P x Q) ? TC;Showing a Profit on the Graph; ;Illustrating When a Firm Is Breaking Even or Operating at a Loss P ATC, which means the firm makes a profit P = ATC, which means the firm breaks even (its total cost equals it total revenue) P ATC, which means the firm experiences losses;Remember that Firms Maximize Total Profit, Not Profit per Unit;Losing Money in the Medical Screening Industry;Deciding Whether to Produce or to Shut Down in the Short Run;When to Close a Laundry;The Supply Curve of the Firm in the Short Run ;Economic Profit and the Entry or Exit Decision;“If Everyone Can Do It, You Can’t Make Money At It” –The Entry and Exit of Firms in the Long Run;“If Everyone Can Do It, You Can’t Make Money At It” –The Entry and Exit of Firms in the Long Run;“If Everyone Can Do It, You Can’t Make Money At It” –The Entry and Exit of Firms in the Long Run;“If Everyone Can Do It, You Can’t Make Money At It” –The Entry and Exit of Firms in the Long Run;“If Everyone Can Do It, You Can’t Make Money At It” –The Entry and Exit of Firms in the Long Run;“If Everyone Can Do It, You Can’t Make Money At It” –The Entry and Exit of Firms in the Long Run;“If Everyone Can Do It, You Can