MARKET EQUILIBRIUM: FIXED NUMBER OF FIRMS

Effects Of Change In Demand And Supply On Market Equilibrium

Short Run Equilibrium Of The Monopoly Firm

The market demand curve for commodity X is q^(D)=700-p . Now, let us allow for free entry and exit of the firms producing commodity X. Also assume the market consists of identical firms producing commodity X. Let the supply curve of a single firm be explained as: q_(t)^(S)=8+3p " for "pge20 =0 " for "0le p lt 20 (a) What is the significance of p = 20? (b) Calculate the equilibrium quantity and number of firms at the equilibrium price of rupee 20.

There are 3 firms P, Q and R in a market. Prepare the supply schedule for a market.

A firm earns a revenue of Rs.50 at the market price of a good at Rs.10. The market price increases to Rs.15 and the firm now earns a revenue of Rs.150. What is price elasticity of the firm supply cruve?