Sparkle, One of Many Firms in the Market for Toothpaste

question 193

Essay

Sparkle, one of many firms in the market for toothpaste, is in long-run equilibrium.Sparkle has a small market share and has been in business for a long time.
a.Identify the market structure in which Sparkle operates.Explain your answer.
b.What is Sparkle's profit or loss? Explain your answer.If you cannot determine the profit or loss, explain what information is missing.
c.Draw a diagram showing Sparkle's demand curve, marginal revenue curve, average total cost curve, and marginal cost curve.Label your diagram.

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Definitions:

Norms, Values

The rules that a group uses for appropriate and inappropriate values, beliefs, attitudes, and behaviors.

Unconscious Mind

A part of the mind that influences thoughts and behavior without one's awareness, a concept fundamental in psychoanalytic theory.

Feral Children

Denotes children who have lived isolated from human contact from a very young age, with no or little experience of human care, behavior, or human language.

Generalized Other

The perspectives and expectations of a network of others (or of society in general) that a child learns and then takes into account when shaping his or her own behavior.