Analyze the determination of a new long-run equilibrium, showing the effects with the aid of graphs for a representative school as well as for the market as a whole.

Assume that the MBA education industry is constant-cost and is in long-run equilibrium. Discuss what long-run equilibrium means. Demand increases, but due to strict accreditation standards, new firms are not permitted to enter the market.

Analyze the determination of a new long-run equilibrium, showing the effects with the aid of graphs for a representative school as well as for the market as a whole.

Explain with a compare/contrast one paragraph analysis how your analysis change if MBA’s are produced in an increasing cost industry. Page limit, one page and on page for supporting graphs.

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