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SUPPLY - Cloudfront.net
SUPPLY - Cloudfront.net

... • Implies a change in the # of units supplied at every price • Causes a shift on the ENTIRE supply line P r i c e ...
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... For the small sandwich shop, calculating the marginal product of a variable input (labor) and marginal revenue product was easy. Although it may be more complex, the decision process is essentially the same for both big corporations and small proprietorships. When an airline hires more flight attend ...
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Perfect competition

In economic theory, perfect competition (sometimes called pure competition) describes markets such that no participants are large enough to have the market power to set the price of a homogeneous product. Because the conditions for perfect competition are strict, there are few if any perfectly competitive markets. Still, buyers and sellers in some auction-type markets, say for commodities or some financial assets, may approximate the concept. As a Pareto efficient allocation of economic resources, perfect competition serves as a natural benchmark against which to contrast other market structures.
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