ECO 365 Week 3 participation Principles of Microeconomics, Ch. 14: Firms in Competitive Markets

Read Ch. 14 of Principles of Microeconomics:

• 14-1 What Is a Competitive Market?, pp. 280-282
• 14-2 Profit Maximization and the Competitive Firm’s Supply Curve, pp. 282-289
• 14-3 The Supply Curve in a Competitive Market, pp. 289-295

Consider the following as you read:

1. Understand how consumers influence the market price of goods it sells.
2. Understand the term market power.
3. Understand the types of cost: fixed, variable, and marginal.