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1. How would a low-cost price leader enforce its leadership through implied threats to a rival? How does a firm become a "low cost" price leader? Discuss the specific type of market structure that implied threat strategy can be adapted.
2. You are required to pick a current economic topic that relates to the material we have covered or will cover in this course. You will research and find an article that covers the topic you have chosen. You will write up a review of the article and integrate course concepts into your review. Please make sure you both summarize the article and discuss how it relates to the course ECON101 (MICROECONOMICS).
Discuss the moral and economic implications involved in the movement.
Explain how incomplete information can cause market failure. Give at least one example of this type of market failure and explain how government intervention has been used to correct the problem.
Calculate the arc cross-elasticity between product A and product B using prices for product B of 2 and 3. Are these goods substitutes or complements?
If the required rate of return in the stock is 16%, calculate the current value of the stock.
Suppose you have just read the yearly report of a mutual fund. It boasted of a 26 percent return and advertised that it had beaten the market return last year by 3% points.
Research these decisions and report your findings - Discuss how self-serving reasoning could play a part in these decisions?
What lessons could you take from the business concepts of fixed and variable costs? And do you factor in the value of your time when you price comparison shop? Why or why not?
Business Week, in an article dealing with management, wrote, "When he took over furniture factory three years ago. Realized almost immediately that it was throwing away at least $100,000 a year worth of wood scrap.
Comparative effectiveness analysis can help the movement towards productive efficiency (point B), while cost-effectiveness analysis would identify the point at which productive and allocative efficiency is achieved (point C).
1.In what ways is a monopolistically competitive firm likely to be less efficient than one under perfect competition?
Why do developed countries experience a degree of convergence over time? Would you expect there to be total convergence of GDP per head?
Rochester Metro Area was hit with a major ice storm in 2003. Suppose that before ice storm of 2003, the weekly demand and supply for ice in the Rochester Metro Area were given by following equations:
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