Skip to Main Content
Microeconomics II
book

Microeconomics II

by D.N. Dwivedi
August 2011
Intermediate to advanced content levelIntermediate to advanced
368 pages
14h 51m
English
Pearson India
Content preview from Microeconomics II
100 Chapter 4
maximization are the same for the rms in both the kinds of the markets (i.e., MR=MC with
MC rising), equilibrium output under perfect competition is higher than that under monopo-
listic competition. For illustration, refer to Figure 4.6. e equilibrium of a rm in monopolistic
competition is determined at point P with output OQ
A
and equilibrium of a rm under perfect
competition will be at point B where equilibrium output is OQ
E
. Recall that the rms under
perfect competition face a horizontal demand curve passing though the minimum point of the
LAC curve, i.e., point B. us, the equilibrium output under monopolistic compet ...
Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.
Start your free trial

You might also like

Macroeconomics, Third Edition, 3rd Edition

Macroeconomics, Third Edition, 3rd Edition

Professor David G. Tuerck
Economics DeMYSTiFieD

Economics DeMYSTiFieD

Melanie Fox, Eric Dodge

Publisher Resources

ISBN: 9788131797655