Economics Homework Help

This is a two-part question. Please place the specific references immediately following each part;no need for a reference page or cover sheet. Part I should be a minimum of 300 words and two references; part II should be a minimum of 1200 words and three references.

I. Find real world examoles of competition and monopoly and apply the criteria for defining markets (number of products, similarity of production, barriers to entry) to those markets to determine how close they fit the textbook definition.

(II)

1. For each lettered space in the following table, determine the appropriate dollar amount
   

1. Assume that the above cost data is for a perfectly competitive firm. Using this data answer the following:

(a) If the market equilibrium price that this firm charges is $50, what level of output must this firm produce to maximize its profit?

(b) What would be the amount of profit that this firm would earn if it produced at the profit-maximizing level of output?

3. You read in a business magazine that farmers are reaping high profits. With the theory of perfect competition in mind, what do you expect to happen over time (in the long run) to each of the following?

a. The prices of agricultural products

b. The profits of farmers

c. The equilibrium output in agricultural markets

d. The number of farms

4. Distinguish between economies of scale and diseconomies of scale. Give examples of why a firm may experience economies of scale.

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