Using Two Graphs, Illustrate How a Positive Technological Change in the Market

question 193

Essay

Using two graphs, illustrate how a positive technological change in the market for notebook computers could eliminate short-run economic profit for a firm in that market.On the first graph, use a supply and demand graph to illustrate the positive technological change.On the second graph, use demand, ATC, MC, and MR curves to illustrate the elimination of economic profit resulting from the positive technological change.Explain what is taking place in each graph.

---

Definitions:

Radioimmunoassay

A sensitive laboratory method used to measure concentrations of substances, typically hormones or drugs, in a sample, utilizing antibodies and radioactive markers.

Gas Chromatography / Mass Spectrometry

A laboratory method combining gas chromatography and mass spectrometry to identify different substances within a test sample.

Molecular Structure

The spatial arrangement of atoms in a molecule and the chemical bonds that hold the atoms together.

Polar

Referring to a molecule with positive and negative charged ends, resulting from an uneven distribution of electron density.