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Assignment:
Suppose that, prior to other firms entering the market, the maker of a new smartphone (Way Cool Inc.) earns $80 million per year. By reducing its price by 60 percent, Way Cool could discourage entry into "its" market, but doing so would cause its profits to sink to -$2 million. By pricing such that other firms would be able to enter the market, Way Cool's profits would drop to $30 million for the indefinite future. In light of these estimates, do you think it is profitable for Way Cool to engage in limit pricing? Is any additional information needed to formulate an answer to this question? Explain.
Can forest harvesting still be ine?cient even where tenure is given on a individual basis and is secure. Why or why not.
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suppose that there are two products clothing and soda. both brazil and the united states produce each product. brazil
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