Long run equilibrium of a firm under monopoly, Managerial Economics

Assignment Help:

Long run Equilibrium of a Firm under Monopoly

In the long run, firm has the time to adjust his plant size or to employ existing plant so as to maximise profit. Long run equilibrium of the monopolist is displayed in figure.

2090_Long run Equilibrium of a Firm under Monopoly.png

Figure: Long run equilibrium of a firm under monopoly

Monopolist is in equilibrium at OL output where LMC cuts MR curve. He would charge OP price as well as earn an abnormal profit equal to TPQH.


Related Discussions:- Long run equilibrium of a firm under monopoly

What do you understand by equilibrium national income, a) What do you unde...

a) What do you understand by equilibrium National Income and to what extent is economic growth beneficial to an economy? b) Explain using both diagrams and mathematical tools,

Chapter one, question 1, Managerial Economics

question 1, Managerial Economics

Consumer welfare, '' monopoly is good for consumer welfare" is this crrect

'' monopoly is good for consumer welfare" is this crrect

PRICE ELASTIC DEMAND, A cut in price from Br 1.50 to Br 1.20 leads demand f...

A cut in price from Br 1.50 to Br 1.20 leads demand for a product rise by 10% What would the price elastic of demand before this product ? interpret the result by identifying the t

Explain about linear isoquant, Q. Explain about Linear Isoquant? : In...

Q. Explain about Linear Isoquant? : In this case, isoquant would be straight lines as in Figure below. This type presumes perfect substitutability of factors of production. I

Neutrality of money and classical dichotomy, Question 1: a. Discuss th...

Question 1: a. Discuss the alternative theories of money demand. b. Highlight the impact of financial liberalization on the money demand in a small island developing econo

Circular flow of income, Explain a circular flow of income in a frugal econ...

Explain a circular flow of income in a frugal econmomy with diagram

The determination of equilibrium national income, THE DETERMINATION OF EQUI...

THE DETERMINATION OF EQUILIBRIUM NATIONAL INCOME National income is said to be in equilibrium when there is no tendency for it either to increase or for it to decrease.  The a

Actual income and full employment income, Actual income and Full employment...

Actual income and Full employment income Full employment income (Also called Potential National) is the national income that could be produced when the country's factors of pr

Explain the term- takes the help of macroeconomics, Takes the help of macro...

Takes the help of macroeconomics Managerial economics incorporates certain aspects of macroeconomic theory. These are important to comprehending the circumstances and environme

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd