Scribd Logo
Upload

Welcome to Scribd!

  • Comparison Between Market Priod and Short Run Period.

    Uploaded by

    Ghalib Hussain
    15 views1 page
    This document discusses price determination under different market conditions. In the short run, a firm's supply curve is upward sloping as output is constrained by fixed costs. The market supply curve is the horizontal sum of individual firm supply curves. As output increases from 0 to X, price falls from P1 to P3 as more firms enter the market and supply increases.

    Original Description:

    Difference between market and short run period.

    Original Title

    Comparison between market priod and short run period.

    Copyright

    © © All Rights Reserved

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    This document discusses price determination under different market conditions. In the short run, a firm's supply curve is upward sloping as output is constrained by fixed costs. The market supply curve is the horizontal sum of individual firm supply curves. As output increases from 0 to X, price falls from P1 to P3 as more firms enter the market and supply increases.

    Copyright:

    © All Rights Reserved
    Flag for inappropriate content
    15 views1 page

    Comparison Between Market Priod and Short Run Period.

    Uploaded by

    Ghalib Hussain
    This document discusses price determination under different market conditions. In the short run, a firm's supply curve is upward sloping as output is constrained by fixed costs. The market supply curve is the horizontal sum of individual firm supply curves. As output increases from 0 to X, price falls from P1 to P3 as more firms enter the market and supply increases.

    Copyright:

    © All Rights Reserved
    Flag for inappropriate content
    of 1

    Price Determination under Market Period and Short Run Period

    MPSC MPSC
    Y Y
    SP
    D1 D1 SC

    P2 E1 P2 D E1
    D
    P3 E3

    Price
    Price

    P1 E D1 P1 E D1

    D D

    0 X 0 X
    M M M1
    Quantity Quantity

    You might also like