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Q. Point out one product that you believe is produced by a "pure" monopoly firm (or a firm with a high degree of monopoly power). Is it a local, regional or national monopoly? What are some of the Barriers to Entry into this industry? For the product listed, list substitute(s) for this "monopolies." Demonstrate how the relative "closeness" of the substitutes listed determines, to a large degree, effective limits to the monopoly power of these firms.
The licorice industry is competitive. The current market price of a string of licorice is $0.40. At this price, a firm decides to produce 2 million strings of licorice this month.
Moldovan authorities declared not only once that y want to sign an agreement with IMF that would not envisage Moldovas financing. Can fund accept such a scenario.
Suppose you discover that average fixed costs are $2 and average variable costs are $7. Indicate what the firm should do.
How does the adverse selection problem arise in the credit-card market? How do credit-card companies reduce the adverse selection problem that they face? To what complaint does this give rise?
The economy has recently turned around, and one of your colleagues suggests that you could hire 25 people for $50,000 per employee to do the sales job as independent agents at a cost of goods sold (COGS) of only 0.5%. What concerns might you have abo..
Explain how much will your firm's total revenues (revenue from both products) change if you increase the price of good X by 1 percent.
Illustrate what are influence of following changes in policies on private saving and national saving. New policy: Increase in government purchases by $100 and taxes by $80. (MPC=0.7) Estimate amount of changes.
Find the net demand curve-facing industry A. Conclude A's optimal price also o/p. How much o/p do the other Industries provide in total.
Research and present one CEO (Chief Executive Officer) pay package. Does this CEO earn more money if the company performs well? What penalty does the CEO receive if the company does not perform well?
How vegetarians sometimes have trouble making sure they get enough protein in their diets.
Illustrate what role did the policies of various governments play in influencing the international expansion strategies of both McDonald's and Wal-Mart.
If combination of rational expectation and perfectly competitive markets , a decrease in aggreage demand will lead to? A. A small decrease in real GDP B. No change in real GDP C.
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