3. ( are vertically differentiated. ) If for equal prices consumers do not agree on which product is the preferred one then products mononolistic conmpetition industry has the following features: 1) there is a large number
Q: A firm produces 550 T.V. sets during its first year. The sum total of the imm's production at the en...
A: Production in year 1 = 550 TV units Production in year 5 = 3000 units Now growth rate of production ...
Q: if the government imposed a price ceiling on oil and gas prices? How would this affect the market in...
A: The oil sector is largely affected by the law of supply and demand. Oil price expectations are one ...
Q: The price elasticity of demand for a product is estimated to be -2.3. At the initial price of $20, t...
A: Elasticity of demand measures the quantitative change in the demand in response to change in the pri...
Q: Consider the following game: PLAYER 2 Left Middle Right Up 0,0 2,5 5.4 PLAYER 1 Middle 1,2 7,3 4,3 D...
A: Nash equilibrium is the equilibrium in which both the players attain highest payoff by choosing the ...
Q: 3. In 1986, the CPI stood at 109.6 while in 2016 it stood at 240.0. In 1986, a new Toyota Corolla LE...
A: Consumer price index is the weighted sum of a consumption basket used to gauge inflation rate in the...
Q: 2- The demand function for sugar is given by the function: Qd=30-0.6P. Find Qd for: a- P=5 b- P=15 C...
A: Demand is defined as the quantity of a good or a service which the consumers would be willing and ab...
Q: what do you think about NFTs in the market, is there and need for them? And what are some concerns r...
A: Non-fungible token(NFT): The item can be considered as non-fungible when the particular item cannot ...
Q: What are the three (3) most important things that you believe should be done to reduce hunger in our...
A: Hundreds of theories exist regarding how to end world hunger, many of which are hotly discussed by a...
Q: ) A news report is released about the negative health effects of using notebook computers. Consumers...
A: In a market, the price of any commodity is influenced by the change in the demand and supply of that...
Q: 1. Rosie has just written a book. Assume that her preferences are consistent with expected utility t...
A: Probability of book being best seller = 0.3 Probability of break even = 0.7 Utility function : U(I...
Q: Explain production function to a non-academic audience.
A: The markets are the place where the buyers and the sellers tend to interact with each other. The dem...
Q: CLASSES OF GAMES Consider the following game in strategic form. bị b2 b3 a1 7,7 4,8 1,9 a2 8,4 5,5 2...
A: When each individual follows their own self-interest, the outcome is worse than if they had both col...
Q: What can you say about Tax incidence in our country, who carries the burden more? Give examples and ...
A: Tax is the compulsory payment made by the Individual and any organisation to the government without ...
Q: Give an example of an Inelastic product, what makes it inelastic? What can make it become elastic?
A: Elasticity is a term used in business to describe the extent to which a change in a product's charac...
Q: What acts are considered as a violations of the Intellectual Property Code?
A: Violations of protected innovation can be an enormous worry for a business because of the way that p...
Q: A firms production function is Q (L) = 15L2 - 0.1L3 = where output (Q) is a function of a single in...
A: (i) Total Product=Output=15L2 - 0.1L3 FOC: Maximizing TP : Differentiating TP function wrt L and equ...
Q: In the two-period model, suppose that current consumption is a normal good. If the interest rate inc...
A: The two-period model is the one which explains the relationship between current consumption and savi...
Q: Consider two lotteries: • Lottery 1: The gamble (0.1,0.6,0.3) over the final wealth levels ($1, $2, ...
A: People who prioritise capital preservation over the possibility of a higher-than-average return are ...
Q: 4. Consider a two period model with investment Imagine a preference shock that increases the repre...
A: In the current and future periods, the Representative Consumer (RC) makes a work-leisure decision, a...
Q: Alizeh and Kelly were traveling together and have gotten stranded at an airport overnight. They have...
A: When we produce the commodities and services that people value the most, we have an efficient use of...
Q: Do you agree on the statement “supporters of import restrictions favor producer welfare than consume...
A: Import restrictions mean various types of trade restrictions imposed on the import of goods and serv...
Q: What is the opportunitiy cost of having health insurance? What is the opportunity cost of not having...
A: The potential gains that an individual, investor, or organisation misses out on when choosing one op...
Q: In the AD/AS model, if both inflationary expectations and business taxes increase, then the price le...
A: When talking about AD-AS model, it is the framework to explain the market goods goods and services a...
Q: 3. Briefly explain how a hike in fuel prices would affect your business costs, sales,competitiveness...
A: Cost refers to the total expense that is incurred in the production of a product in any firm. Cost i...
Q: 3. The rate of inflation as of Thursday is 6 %, this is expected to continue. Sylvia wants to earn a...
A: Given Rate of inflation =6% We know that the real rate of interest = nominal interest rate minus the...
Q: _1. Economics is the study of how people utilize their unlimited resources to satisty limited wants....
A: Disclaimer: Since it is a multi-part question, I am providing you with the answers to the first thre...
Q: MIXED STRATEGY NASH EQUILIBRIUM Consider the following game in strategic form. bị b2 a1 19,1 80,70 a...
A: Mixed strategy games are those in which players choose any strategy based on a probability distribut...
Q: Which of these is not a time-dependent economic indicator? A. IRR B. MARR C. ERR D. B/C ratio
A: The indicators that allow an analysis of the performance of the economy and predictions of the perfo...
Q: What does diminishing marginal product suggest? A. additional units of output become less costly a...
A: (13) The marginal product curve is inverted U shaped The marginal cost curve is U-shaped. ---------...
Q: The smartphone producer controls the privacy settings on the smartphone. The smartphone producer cho...
A: Since the question you have posted consists of multiple parts, we will answer the first two parts fo...
Q: Briefly define the terms: Deflation Disinflation Reflation
A: Answer: Deflation:As we know that deflation is considered as a drop in the overall or the whole leve...
Q: 17) What does a firm that exits its market still have to pay? A. its fixed costs B. it...
A: Market A market basically refers to a place where different sellers and consumer comes in contact ...
Q: The demand curve for a monopolist is 2p = 100 - q. Find revenue and marginal revenue. At what value ...
A: Introduction:
Q: 18 Calcurate the least square regression líne equation with the given X and Y values. Consider the v...
A: X Y X2 XY 60 3.1 3600 186 61 3.6 3721 219.6 62 3.8 3844 235.6 63 4 3969 252 65 4.1 4225 26...
Q: The price elasticity of demand is -3, the price elasticity of supply is 1. The government imposes a ...
A: Elasticity helps to determine the tax burden. Higher than elasticity, lower the tax burden. Lower th...
Q: A commercial vehicle is purchased for an acquisition cost of $300,000. The operating and maintenance...
A: Economic life is the life of an asset till the time it can be used. The EUAC of the defender is gre...
Q: Use real-life examples to explain issues related to old and new economies
A: The area of trade, distribution, consumption and production of goods and services in an economy is k...
Q: 5. If the marginal revenue function for a manufactures product is 6. +5 ; find the demand function. ...
A: Given: The marginal revenue function is: MR = 6Q + 22 + 5 To Find: The demand function:
Q: You won a prize in a contest! There are two choices: take the $500 prize today or wait one year and ...
A:
Q: 3. The effect of negative externalities on the optimal quantityof consumption Consider the market fo...
A: Negative externality refers to spill-over cost on society which is not a part of consumption or prod...
Q: Superiority of Robbins' Definition of economics is rightly called the " Superiority of Robbins' Defi...
A: Answer: Robbins dismantled the old economic structure focused on material welfare and built a new on...
Q: A commercial vehicle is purchased for an acquisition cost of $300,000. The operating and maintenance...
A: Economic life is the life of an asset till the time it can be used. The EUAC of the defender is gre...
Q: ased on the data in the table and graph below, identify the equilibrium GDP: Price Level Real GD...
A: The equilibrium level of GDP is attained at level where Real GDP is equal to Aggregate expenditure A...
Q: 1 (a) Rewrite and explain the main equilibrium equations of the Ramsey model assuming the government...
A: A commodity or service that is freely available to all members of society is referred to as a public...
Q: 1. What are the 3 components for Economics Efficiency ?
A: "Since you have asked multiple questions, we will solve first question for you .. If you want any sp...
Q: Consider a good X sold in a monopolistically competitive market. Let the domestic government impose ...
A: Different countries have different currencies all around the world. For example United States of Ame...
Q: Which of the following was a way for the Bureau of Labor Statistics to reduce the quality/new good b...
A: When talking about the consumer price index (CPI), it is considered as the inflation measuring tool ...
Q: What lump sum of money must be deposited in a bank account at present time so that Php 500 per month...
A: The amount of cash which in the event that contributed now at a given pace of accruing funds will am...
Q: 1) Under which of the following scenarios would an expansionary fiscal policy be more effective? Gr...
A: In an economy, expansionary fiscal policy refers to the situation when government tries to increase ...
Q: Market demand is Qd = 100 - p. Market supply is Qs = 4p. A competitive firm has MC = 2Q. How !3! !3!...
A: Equilibrium in the competitive market is reached where quantity demanded equals quantity supplied.
True/False
Step by step
Solved in 2 steps
- 5. (a) Assume that two firms A and B are in different industries (like computer software and computer hardware). What impact will a merger between these two firms have on the number of firms in each industry after the merger? Please give an explanation. (b) Current automobile companies are facing a shortage of computers chips used in cars to run various parts of the car, and therefore supply of cars has decreased since a necessary part(s) is not available. If an auto company like General Motors (GM) decided to buy a chip manufacturing company to ensure that it did not face a chip shortage in the future, would such a purchase lead to more concentration in either the auto industry or the chip-manufacturing industry? Please give an explanationexplanation.2. As a consumer of the products or services provided by these Big Tech companies, are YOU helping fellow consumers with fair business practices or supporting Big Tech firms grow in market power? Do explainSg3 Economics An industry produces its product, Scruffs, at a constant marginal cost of $50. The market demand for Scruffs is equal to Q=75,000−500PQ What is the value to a monopolist who is able to develop a patented process for producing Scruffs at a cost of only $45? $_____________ If the industry producing Scruffs is purely competitive, what is the maximum benefit that an inventor of a process that will reduce the cost of producing Scruffs by $5 per unit can expect to receive by licensing her invention to the firms in the industry? $________________
- Only typed answer 1. Why do oligopolies exist? A. A small number of firms have established barriers to entry using economies of scale, patents, and sheer size to prevent other firms from challenging them. B. The oligopolistic firms are created, run, and supported by the government. C. The members of an oligopolistic market are producing in the upward sloping range of their long run average cost curves.7. What are the three approaches to achieving a distinct and valuable strategic position? Select one: a. few needs, many customers; broad needs, few customers; broad needs, many customers. b. many needs, few customers; little need, many customers; narrow needs, few customers. c. low-cost products; huge market needs; unique products. d. poor products available; few products available; no products available.1.Microsoft is one of the leading software companies. Prior to 2000, Microsoft’s share of the market for personal computer operating systems stood above 80 per cent. However, since the twenty-first century Microsoft’s market share has steadily declined to 40 per cent. This is due to the rise in competing software producers such as Apple macOS (10%), Google's Android OS (35%), Linux Operating System (35%), and Apple iOS (5%). The market share of each company is provided in parentheses. Google and Linux have decided that it would be in their best interest to work together to serve the market. This is not common knowledge to the person’s outside of the companies. i. Draw how equilibrium price and quantity are determined in this industry. Hi does this refer to the monopoly market structure diagrams? 2. Allsmart’s demand curve is given by Q=10-P for its dishwashers. The marginal and average cost is $3 per dishwasher produced. Complete the following table. Photo below concerns…
- 2) How does the corporate office create a parental advantage, which is difficult to duplicate by its more focused competitors? 3) What are the synergies and economies of scope and how do they work at Disney to lower its overall costs? 4) Given the diversification approach that Disney uses, what are some things that they can do to deal further with the trend toward cord-cutting and competition from large streaming and content producers such at Netflix, Amazon, and other content producers?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. Monopoly7. Due to the war in Ukraine, natural gas prices are expected to increase rapidly in Europe this winter. Which role of prices will European consumers experience in this market? The rationing role which states that as prices rise, only those buyers most willing and able to pay will be able to keep their homes as warm as they desire. The resource directly role which states that as prices rise, suppliers of natural gas from other nations will attempt to increase production to sell to Europeans. The information role that teaches us how rising prices conveys a message that prices were below equilibrium right before they began to rise. The rationing role of prices which discriminates based on the consumer income, wealth and other factors that influence consumption. All of the above.
- 16-5. Your pharmaceutical firm is seeking to open up new international markets by partnering with various distributors. The different distribution within a country are stronger with different market segments (hospitals, retail pharmacies, etc.) but also have substantial overlap. A. In Egypt, you calculate that the annual value created by one distributor is $60 millions per year, but would be $80 millions if two distributors carried your product line. How much of the value can you expect to capture? B. Argentina also has two distributors with values similar to those in Egypt, but both are run by the government. How does this affect the amount you could capture? C. In Argentina a, if you do not reach an agreement with the government distributors, you can set up a less efficient Internet-based distribution system that would generate $20 million in value to you. How does tis affect the amount you could capture?Please answer only # 3 & 4 Rebecca owns Louisiana Sugar Company, a manufacturer of sugar. Since there are lots of domestic manufacturers and importers of sugar and it is difficult to practice brand differentiation, the sugar industry is highly competitive. Suppose the demand for sugar increases. (1) What will be the effect on the market price and quantity of sugar in the short run and in the long run? Explain why. (2) What will happen to the economic profits of Louisiana Sugar Company in the short run and in the long run? Explain why. Now suppose that the demand for sugar increases again, In order to protect the US sugar industry, the US government forbids the import of sugar into the United States (3) What will be the effect on the market price and quantity of sugar in the short run and in the long run? Explain why (4) What will happen to the economic profits of Louisiana Sugar Company in the short run and in the long run? Explain why.Please answer only # 5 & 6. Rebecca owns Louisiana Sugar Company, a manufacturer of sugar. Since there are lots of domestic manufacturers and importers of sugar and it is difficult to practice brand differentiation, the sugar industry is highly competitive. Suppose the demand for sugar increases. (1) What will be the effect on the market price and quantity of sugar in the short run and in the long run? Explain why. (2) What will happen to the economic profits of Louisiana Sugar Company in the short run and in the long run? Explain why. Now suppose that the demand for sugar increases again, In order to protect the US sugar industry, the US government forbids the import of sugar into the United States (3) What will be the effect on the market price and quantity of sugar in the short run and in the long run? Explain why (4) What will happen to the economic profits of Louisiana Sugar Company in the short run and in the long run? Explain why. (5) Are the economic profits of…