What is the supply curve of a firm in the short run?

The firm’s short-run supply curve is the portion of its marginal cost curve that lies above its average variable cost curve. As the market price rises, the firm will supply more of its product, in accordance with the law of supply.Click to see full answer. Likewise, what is the supply curve of a firm in…

The firm’s short-run supply curve is the portion of its marginal cost curve that lies above its average variable cost curve. As the market price rises, the firm will supply more of its product, in accordance with the law of supply.Click to see full answer. Likewise, what is the supply curve of a firm in the long run?Corresponding to OP price, the long-run supply curve is LSC, which is a horizontal straight line parallel to the X-axis. This means that whatever the output along the X-axis, price is the same OP where the marginal cost and average cost are equal. The cost remains the same, because it is a constant cost industry.Secondly, what is the difference between the short run and long run supply curves? We know that in short run supply curve is horizontal which means that prices remain rigid while quantity of supply adjusts according to demand. However, in long run this reverses. Consequently, what is the supply curve for a perfectly competitive firm in the short run? PERFECT COMPETITION, SHORT-RUN SUPPLY CURVE: A perfectly competitive firm’s supply curve is that portion of its marginal cost curve that lies above the minimum of the average variable cost curve. A perfectly competitive firm maximizes profit by producing the quantity of output that equates price and marginal cost.How do you find the supply curve?Since slope is defined as the change in the variable on the y-axis divided by the change in the variable on the x-axis, the slope of the supply curve equals the change in price divided by the change in quantity. Between the two points labeled above, the slope is (6-4)/(6-3), or 2/3.

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