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17 April, 04:43

Identify an industry with high fixed costs in the short run

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  1. 17 April, 08:24
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    The answer is: Car manufacturers

    An industry that have high fixed costs in the short run would be the industry that has to put a high price tag for their products.

    Car manufacturers need to provide a high number of capital on the early stage of investments to purchase machines and factory spaces that essential for the efficiency of the production. Due to this hard requirements, there is very little new company enter the competition in car manufacture industries in recent centuries.
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