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Intel made large loyalty payment to HP in exchange for HP buying the most of their cips from Intel instead of rival AMD. AMD sued Intel under the antitrust laws, and Intel settled the case by paying $1.25 billion to AMD.
What incentive conflict was being controlled by these loyalty payments
What advice did Intel ignore when they adopted this practice
Why did they ignore it?
Do you think Nike needs to make any changes to its current policy? If so, what? Should Nike make changes even if they hinder the ability of the company to compete in the marketplace?
Your firm is one of 100 identical firms operating in the short run in a perfectly competitive market. Your total cost function (short run and long run) is C = 800 + 25 q + 0.5 q2, and your marginal cost function is MC = 25 + q. The (short run and lon..
A country that must adopt foreign exchange controls because of a misaligned exchange rate sacrifices the use of both monetary and fiscal policy instruments to influence domestic income and the interest rate.” Explain.
The sales manager for ABC Electronics wants to maximize his profit on the sale of two portable media player models, JVD-2000 and MDP-72. The wholesale costs of these models are $310 and $100 per unit respectively. Find the optimal number of the two d..
Suppose the county government has the choice to invest in a public library or a basketball court. It can't invest in both. A public library is very expensive to build and maintain, but it will serve the county for 20 years. The present value of the n..
A firm sells 10 units at a price of 20. The marginal cost of production for this firm is MC(q)=5+q. What is this firm’s Lerner Index?
Suppose both Monica and Edith grow roses and make guns. If Monica devotes 10 hours to growing roses, she grows 16 roses, and if she devotes 10 hours to making guns, she produces 4 guns. If Edith divides her 10 hours equally, she produces 12 roses ..
Office Absorption (the rate at which available homes are sold in a specific real estate market during a given time period) often lags employment levels, why? How does increased household savings impact the office space market?
____________ measures the percentage change in the quantity of good x resulting from a percentage change.
Which of the following would be the BEST method to assign the appropriate privileges?
There are two types of coal mines in operation: “above-ground” mines, which involve very little risk to the miners, and underground mines, which are considerably more dangerous. What would be an economist’s estimate of the value of a statistical lif..
Describe in details how the FED bank uses each of the three monetary policy tools, in order to decrease money supply. In your explanation describe who is responsible for setting the monetary tool and how the monetary tool work and how it affects mone..
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