Skip to content
MathsGenie logo
Quick links
Open app

Course home

  1. A Level
  2. Economics Edexcel A
  3. Question bank

3.4 Market structures

EasyMediumHard
1234567891011121314151617181920212223242526272829303132333435363738
Question 12

In a vast metropolitan area, thousands of independent rooftop apiarists harvest and sell wildflower honey of identical quality. Mia operates one such micro-apiary and plans to sell her honey jars at the city's agricultural exchange, expecting to earn a normal profit. She notes that the market consists of thousands of sellers, all of whom are price-takers selling at the identical market clearing price.

Draw diagrams showing the equilibrium positions for both the metropolitan honey market and a typical firm (Mia's micro-apiary) in the long run.

Long-run Equilibrium under Perfect Competition

[4]

3.4 Market structures Questions

  1. A Level
  2. /Economics
  3. /3.4 Market structures