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Many economists agree that government should deal with monopolists on a case-by-case basis. Policy options include the following, except:
1. If the monopoly is maximizing economic profits, the government should subsidize new firms to enter the industry
2. If the monopoly is attained and maintained through anticompetitive behavior, the government can file a suit based on antitrust laws
3. If the firm is a natural monopoly, the government may decide to regulate its prices and operations
4. If the monopoly is subject, and vulnerable, to potential competition, the government can decide to leave it alone
here are many liquid cold medicines, all of which have almost exactly the same ingredients. Yet medicines with brand names that the man recognizes from television commercials are for more than the unadvertised versions. Elucidate in economic terms..
If the resource prices return to original levels, but a new technique is invented that can produce.
Suppose a chemical factory discharges waste products into a river resulting in significant damages to a local fishery. The marginal damage and the marginal abatement cost (MAC) are given by:
A study estimates the cross-price elasticity between subscription satellite radio service and subscription Internet radio to be -2.5. Based on this information, we infer that the two services are
Entrepreneurs do all of the following except:
What is the difference between hedging and speculating? Give an example of speculating using commodity futures and speculating using financial futures.
Assumes that wheat producers lobby the government for a price floor also receive one.
Is the student necessarily better or worse off than before from such a transfer implied by consultant A.
Evan gets twice as much marginal utility from an additional bottle of water than from an additional bottle of soda.
The demand for the product of a business is given by q = 50 - 2p. If the price of the product is p = 10 dollars, the revenue is
The manager of a corporate division faces the possibility of an audit every yr. She prefers to spend time preparing if she will be audited
Select an asset of your choice. For example you may select an appliance in your home, office, or in another place that have been in use for many years and you are thinking is time to replace it by a new one. After selecting the defender equipment and..
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