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Using supply and demand and competitive analyses, explain what happens to a pharmaceutical company’s revenues and profits from an individual drug once it loses its patent protection. Then identify at least one strategy the company can use to mitigate the losses; be sure to support your suggestion using economic analysis.
q1. 1. what might be the goal of a museum? of a firm? what are the basic steps in all types of decision making
Explore how a firm determines the optimal scale of a plant for a given rate of output and why this determination relates to longer-run strategies versus current operations.
Describe perfect competition and long-run equilibrium. Provide detailed descriptions, definitions and concrete examples of your findings.
Let aggregate consumption be given by: C = 10 + 2(Y-T), where Y is aggregate income and T is total taxes paid such that Y-T is disposable income. Should the consumption function depend on the real interest rate? Why or why not?
If the short-term own price elasticity for transportation is estirmated to be -0.6, then long-term own price elasticity is exprected to be
Find one video or cartoon example of one of these fallacies on the Web. The example must take the form of a video/cartoon (check out YouTube, for instance, or search for the fallacies in cartoon banks). The Cartoon Network, Family Guy, Stephen Colber..
An improvement in production technology for a specific good will cause a(n):
Why do consumers want to save more in the weak economy? What influences our consumption? Should governments be made by law to balance their budgets, or should they be permitted to run deficits sometimes? Should you go into debt sometimes? Explain?
Identify and explainthree arguments against heavy government intervention in an economy - What prompted greater intervention by the German government in 2009?
Suppose that when income increases by 10%, the quantity demanded of gasoline increases by 3%. What is the income elasticity of gasoline? Based on your answer, is gasoline a normal or inferior good? Is it a necessity or a luxury?
A market is made up of two consumers. The first has a demand P(1) = 1200 – 3q and the other has demand P(2) = 1200 – 6q. There is one firm in the market acting like a monopolist with costs = Q^2 + 90,000. Assume the firm can perfectly price discrimin..
Economists look at the differences between the short run and the long run in macroeconomics. Explain how might knowing this affect you as the manager of a large firm.
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