supply curve, economies of scale

A) In the long-run in perfectly competitive industries the (long-run) supply curve of the industry can be derived. Explain likely outcomes (slopes) of long-run supply curve in various situations B) Explain economies of scale. What are the major reasons for this phenomenon? What are the likely slopes (shapes) of the long-run average total cost curves?

Definition of microeconomics, issues covered by microeconomics.

What is microeconomics? What are the issues covered by microeconomics?

price, quantity and profits

12) You are the manager of a small pharmaceutical company that received a patent on a new drug three years ago. Despite strong sales ($125million last year) and a low marginal cost of producing the product ($0.25 per pill), your company has yet to show a profit from selling the drug. This is, in part due to the fact that the company spent 1.2 billion developing the drug and obtaining FDA approval. An economist has estimated that, at the current price of $1.25 per pill, the own price elasticity of demand for the drug is -2.5. Based on this information, what can you do to boost profits? Explain 14) You are the manager of College computers, a manufacturer of customized computers that ... click for more

Price, quantity and profits

Do you anticipate an earning or loss. I wanted all the calculations with the approach that you used.

Textbook:- Economics-The Essentials Chapter-2 Synopsis

How supply and demand analysis can be extended to illuminated many issues such as low incomes in agriculture and the pattern of taxation by government; How selfish behaviour in a market system acts like the "invisible hand" of a social planner to allocate society's resources efficiently; and How the invisible hand fights back when government try to overrule market forces with price controls.