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YouTube was the first to make this question worth asking. ... NBC Universal and News Corp. announced last year that they were jointly initiating their own YouTube imitation... Hulu... is a splendid piece of interface design that rests on a technically attractive video player. ... Hulu has allegedly already sold all of its advertising inventory. ... There are many other services waiting for your opportunity, such as Joost and Miro. ... Time, April 28, 2008
a. Draw a graph of YouTube's cost and revenue curves if the company is able to make a short-term(short run) economic profit.
b. What do you expect to happen to YouTube's long-term(long run) financial profits, given the information in the newspaper article?
c. Draw a graph to illustrate your answer to part b.
This document contains various important questions and their appropriate answers in the subject field of Economics.
Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.
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