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The Theory Of The Firm Under Perfect Competition
Question
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How does an increase in input price affect the equilibrium quantity exchanged in the product market?

Answer

Equilibrium quantity will fall because increase in input price tends to raise the price of the product.

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Some More Questions From The Theory Of The Firm Under Perfect Competition Chapter

What is meant by market structure?

What is perfect competition?  

Name the market structure in which firm is itself an industry.

 Define the term market as used in economics.

What is meant by monopolistic competition?

What are selling costs?

Define homogeneous product.

What is meant by differentiated product?

 Define perfect competition.

 Is the seller under perfect competition a price maker or a price taker?