.In 2019, competition authorities threw out a merger of Asda and Sainsbury’s. What type of growth would the merger of Asda and Sainsbury’s have represented? a) Horizontal expansion b) Horizontal integration c) Conglomerate merger d) Vertical integration e) Horizontal alliance
Q: If the Central Bank of Vinicius wants to reduce the inflation rate they could: a) sell public debt,…
A: public debt, obligations of governments, especially those confirmed by protections, to pay specific…
Q: What are the Hicksian Demands? ○ hx (Px, Py, U) = 0 and hy (Px, Py, U) = U hr (Pa, Py, U) = = and hy…
A: Gina has perfect utility function for good x and good y. With given prices px and py for x and y
Q: 5. Problems and Applications Q5 1. Initial Demand and Equilibrium Q = 120L-L² 120-2Z 2. New Output…
A: Labour market : labour market is a market where the firms and households interacts. The firms…
Q: A company with two different plants manufactures guitars and banjos. Its production costs for each…
A: The cost of production of a firm involves costs of labor, raw materials, and capital. Out of the…
Q: The figure to the right shows the demand and supply curves for the coffee market. The government…
A: Price floor is the government imposed minimum price for a commodity to support the producers.
Q: Ma3. Please give only typed answer. micro economics 1)U=2x+2y where px/py=1/4 use indirect…
A: ***Since the student has posted multiple questions, the expert is required to solve the first…
Q: QUESTION 5 The price in an oligopoly market when companies compete is: O a Higher than in perfect…
A: Oligopoly market is a market form wherein there are a few firms only engaged in the production of…
Q: What is the average variable cost associated with 38 units of output? $1.05 $.95 $.42 O $1.37
A: Total cost refers to the total amount of cost involved in producing the goods and services. These…
Q: Consider the production function F (K, L) = 9 K+10L. Assuming the market for labor is perfectly…
A: Production functions shows the relationship between the input used and output produced. Marginal…
Q: Some of the negative consequences associated with the government regulation of monopolies or…
A: * ANSWER :- From the given information the answer is given as below
Q: given froduction function F=K^1/4 L^1/16 price of capital and labor are v and w 1)find short run…
A: In the short run, at least one input is held constant whereas in long run all factors of production…
Q: Is the development of economic theory random, or are there causal forces at work? explian
A: An economic theory is a set of ideas and ideals which describe how economies operate. Depending upon…
Q: IC OM B D X Life/years OY OZ OW OV Y Z $320,000 $340,000 $45,000 $35,000 $110,000 $210,000 $20,000…
A: Benefit/Cost Ratio. Measure computed by dividing the incremental monetized benefits associated to a…
Q: Explain whether or not each industry fits the definition of an oligopoly. What are the dominant…
A: Oligopoly markets will be markets overwhelmed by few providers/suppliers. They can be tracked down…
Q: 0. which of the following would most likely have a price elasticity coefficient less than 1 !
A: Price elasticity of demand measures the responsiveness of change in quantity demand to change in…
Q: 1)given U(x,y) if owprice elasticity is -6/5 and cross price elasticity to x is 1/5 find income…
A: Own price elasticity shows the change in quantity due to change in price of own good. Cross price…
Q: (Table: Demand for Wind-Powered Turbines) Use Table: Demand for Wind-Powered Turbines. The marginal…
A: Demand Schedule: Demand schedule for a good is a combination of different price and optimal quantity…
Q: When a Mexican company purchases a U.S.-made computer, the Mexican company pays for it with a. U.S.…
A: The US dollar has been used worldwide to facilitate trade. Global trade has been conducted in the…
Q: What is the real meaning of development
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Arrange the following revenues in the federal government, from greatest to least. (1 being the…
A: In an economy, the government is responsible for collecting income from a variety of sources and…
Q: Consider a 2-good, 2-agent pure exchange economy where the initial endowment is eA = (5, 5), eg =…
A: Individual 1 - Ua = xa11/2 xa21/2 Endowments = (5,5 ) Demand functions - xa1* = 0.5Ma/p1 xa2* =…
Q: Suppose there are three countries in the world: Portlandia, Sanaton, and Volcania. These three…
A: Imports mean an outpouring of funds from the country since import exchanges include payments to…
Q: Price $2.00 $2.50 $3.00 $3.50 O surplus; increase O surplus; decrease Quantity Demanded O shortage;…
A: Prices, as we will see, represent both the value of the next (or marginal) unit to the buyer and the…
Q: Paula hires Alfred to manage her store. The left column of the table below shows Alfred’s possible…
A: The efforts put by an employee in the production process of a firm, have deep impacts on the cost…
Q: If government tax policy requires Peter to pay $15,000 in tax on annual income of $200,000 and Paul…
A: Taxation does more than only pay for public goods and services; it also plays a vital part in the…
Q: What is the relative importance of investment spending (I) in aggreagte demand and some factors that…
A: Investment is a part of aggregate demand. Changes in Investment shift the total aggregate demand…
Q: Define the concept of scarcity. Explain the significance of this concept in relation to the concept…
A: Scarcity: The scarcity occurs where demand tends to be larger than available resources. Thus,…
Q: Economics is the study of scarcity. Public sector economics is the study of a. how to keep the…
A: In economics scarcity refers to the situation where the goods and services in the economy become…
Q: Paula hires Alfred to manage her store. The left column of the table below shows Alfred’s possible…
A: Since you have asked multiple questions, we will solve the first 3 questions for you. If you want…
Q: O False QUESTION 20 he beneficiary of a you those financially
A: A 12b-1 fee is a fee charged as operational fees for covering the marketing and Advertising cost. It…
Q: How can an effective lender of last resort prevent financial panics from developing? Why was the Fed…
A: A lender of last resort (LoLR) is a financial institution that provides liquidity or emergency…
Q: Find the Walrasian equilibrium price ratio P/Pr and the Walrasian allocations. Does trade take place…
A:
Q: 4. Consider the following grenade game. First, player 1 chooses between giving player 2 $500 and…
A: Nash equilibrium refers to the situation when both the parties play in their self-interest and reach…
Q: . Free international trade stimulates economic growth by…
A: Since you have posted multiple questions, we will provide the solution only to the first question as…
Q: Sustainable Development Goal 9: Industry, Innovation and Infrastructure Aims to build resilient…
A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…
Q: Define International Political Economics
A: Economics is the branch of social science that studies shortage of resources. It investigates the…
Q: 1. Given the following cost and production functions, find where production is optimized. C = 25x₁ +…
A: For given level of output Q, a firm can minimize its cost by appropriate use of its factor of…
Q: Suppose households supply 500 billion hours of labor per year and have a tax elasticity of supply of…
A: The elasticity of labor supply is the percent change in how much labor is supplied because of a…
Q: Consider a oligopoly with two firms. Each firm has constant marginal cost of 3 dollar per unit and…
A: Given information: P = 15 - Q ---> Market demand curve Where Q = Q1 + Q2 Q1 is the quantity…
Q: P $12 $9 $3 equal to greater than Q" less than The figure above shows the market for pies. According…
A: Price Elasticity shows the change in quantity due to change in price. When the demand is elastic ,…
Q: After careful consideration of the single factor identified in the model above, the researchers were…
A: The regression model analyzes how the independent variable is explained by the independent variable.…
Q: Assume a firm has the following production function: q(L, K) = L¹1/2. K¹/2 Additionally, assume…
A: We have to satisfy first order condition for profit maximization
Q: As the number of firms In an cligopoly becomes very lange, the price gets close to the perfiect…
A: Oligopoly is the market structure with few firms that are in intense competition with each other.…
Q: 4The principle-agent model can explain non-profit maximization in firms. Which of the following…
A: When a party involved in contracts and negotiations have less information than the other…
Q: You and your partner have become very interested in cross-country motorcycle racing and wish to…
A: Present value is the value of investment in today's dollar. Future value is the value of investment…
Q: Under a fixed exchange rate, suppose that the economy initially stays at the long-run equilibrium of…
A: Since you have asked multiple questions, we are answering only the first question. To get answers to…
Q: explain why does the WTO need to separate Agreement on Agriculture?
A: The Committee on Agriculture oversees the application of the Agriculture Agreement and keeps track…
Q: 6. Three oligopolists operate in a market with inverse demand given by P(Q) = a - Q, where Q = 9₁…
A: An oligopoly is a market formation in which a market or industry is controlled by a small number of…
Q: The following data give the yearly inflation rate and money supply growth rate (both measured in…
A: Regression analysis represents the relationship between dependent and independent variables. It…
Q: QUESTION 7 "Suppose the parameters of the IS curve are a=0,b=3/4, and r= 2%. Suppose further that…
A: Part 7 Option D is correct. Since, the government launches a fiscal stimulus measure of either…
8.In 2019, competition authorities threw out a merger of Asda and Sainsbury’s. What type of growth would the merger of Asda and Sainsbury’s have represented?
a) Horizontal expansion
b) Horizontal integration
c) Conglomerate merger
d) Vertical integration
e) Horizontal alliance
Step by step
Solved in 2 steps
- What stops oligopolists from acting together as a monopolist and earning the highest possible level of profits?6. Suppose that the market for e-readers is an oligopoly controlled by Amazon, Barnes &Noble, Sony, and Apple. Barnes & Noble is considering increasing its output. How would this affect the market price? How would it affect the profits of each company?4. Discuss reasons and conditions under which a monopoly or an oligopoly, despite its market power, might result in a better allocation of the economy's scarce resources than a purely competitive industry.
- 21- A town in India has three Milk producing companies. The owners of these milk companies make decisions together about when to raise and lower milk prices. It would be difficult for another milk company to enter this market. Which market structure best describes this market? a. Perfect competition b. Oligopoly c. Monopolistic competition d. MonopolyCarrot Computers and its competitors purchase touch screens for their tablet computers from several suppliers. The six makers of touch screens have market shares of, respectively, 19 percent, 18 percent, 14 percent, 16 percent, 20 percent, and 13 percent. a. What is the Herfindahl index for the touch screen manufacturing industry? b. By how much would a proposed merger between the two smallest touch screen makers increase the Herfindahl index? Would the government be likely to challenge that proposed merger? c. If Carrot Computers horizontally merges with its competitor Blueberry Handhelds, by how much would the Herfindahl index change for the touch screen industry?4 Modern business practices do not usually result in violent outbreaks. Why might governments in the modern day enact laws or regulations that restrict competition? As an example, an entire profession-lobbyist-focuses on convincing government officials to pass laws and regulations beneficial to particular industries. Is this reasonable? Justify.
- 23- Which of the following market types has all firms selling products so identical that buyers do not care from which firm they buy? a. oligopoly b. monopoly c. perfect competition d. monopolistic competition5- Choose the extremely competitive market structure from the following. a. Monopoly b. Monopolistic competition c. Oligopoly d. Perfect competition8. Suppose there are two firms in the market. The market demand is Q=100-p and the marginal cost of production is constant at 40. What is the outcome of price and quantity and the total welfare if those two firms compete like perfect competition? What is the outcome of price and quantity and the total welfare when those two firms merge into a monopoly? What are the pre-merger HHI, post-merger HHI and change in HHI? How does the Horizontal Merger Guideline 2010 classify this proposed merger?
- 3- There are many sellers of abayas and dishdashas in Muscat. Each abaya and dishdasha seller makes their product slightly different from others. There is free entry and exit into this market. Which market structure is this situation referring to? a. Monopolistic Competition b. Perfect Competition c. Oligopoly d. MonopolyEconomics 1) How many buyers are there in a perfectly competitive market?A) FewB) TwoC) ManyD) One2) A market in which there are many buyers and sellers, every firm sells the same standardized product, buyers and sellers have full information about the product and its price, and it is easy for firms to enter and exit the market is known as _____ market.A) monopolyB) oligopolyC) duopolyD) a perfectly competitive3) Which of the following is NOT a reason that firms in a perfectly competitive market are price takers?A) There are many firms that a buyer can choose from.B) Each firm can sell more of its goods at a lower price than at the market price.C) Each buyer has perfect information about all alternatives.D) Each firm's good is a perfect substitute for another firm's good.Question 6 (a) Why is Perfect Competition considered to display high level of economic efficiency? (b) How does monopoly result in a dead-weight loss? Illustrate with diagram. (a) How is oligopoly different from monopolistic competition? (b) Illustrate and explain how the oligopolistic firms determines their collective profit by maximizing price and output levels when they collude and act like a cartel (monopoly). Question 7 (a) What are the main causes of market failure? Give one example and illustrate using a diagram. (b) Explain the difference between private costs and social costs. (c) Government of Country X is considering implementing a tax on fizzy drinks. Using a demand and supply diagram, illustrate what effect the tax will have on the market of fizzy drinks. (d) For what purposes does government use taxes-both at micro and macroeconomic level?
