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Explore how firms in monopolistic competition differentiate their products or services to generate a market niche and gain more control over their pricing. To what extent can product differentiation create barriers to entry? How can product differentiation help firms to increase their short-run profits? Give an example of a firm in monopolistic competition, and discuss the strategies used by the firm to differentiate itself and perhaps earn economic profits in the short run.
March 2016 corn futures are trading at $3.6175/bushel. The market is “paying” producers $0.0975/bushel to store corn to July 1, 2016 (trading at $3.715). How much should the carrying charge be if the monthly storage fee is $0.02/bushel and the averag..
An engineer decides to set aside money in a 529 Plan for his newborn's college education. He estimates that the child's needs will be $48,000 on her 18th, 19th, 20th, and 21st birthdays. If he plans to make uniform deposits starting 3 years from now ..
One of your friends works at the local water utility and another works at a particular fast food restaurant. Both are considering raising their price to increase revenue and ask for your advice. Which of them would likely be more successful in increa..
A dissenting opinion in this case argued that Jerry Schuster did carry on his father's business and should be liable for obligations of the continued business. Does that strike you as reasonable? Shouldn't a warranty be valid so long as the business ..
Define the five types of possible “net” or “overall” effects of the country’s growth on the importance of the trade sector and indicate which types would, other things equal, lead to a deterioration of the growing country’s terms of trade (assuming t..
q1. james marshallian demand function clarifies the utility maximization problem that is max u x1 x2. as the cost of
What nominal rate per month is equivalent to an effective rate of 3.8% per quarter, compounded continously?
Assume the market for bagels is in equilibrium.
Most airline routes in the US, Europe, and increasingly worldwide, are intensely competitive, yet most are oligopolies. What model of oligopoly is consistent with the price competition typical of the airline industry? Explain
Teapot Dome was a successful government project to displayed Harding administration's policy of a laissez faire government. Elucidate
You’re a commodity trader and you’ve just heard a report that the winter wheat harvest will be 2 billion bushels, a 40 percent jump, rather than an expected 30 percent jump. What would you expect would happen to wheat prices?
Present Karl Marx’s economic and social critique of capitalism. Provide empirical examples to illuminate the depth and pervasive of those critiques in contemporary American culture.
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