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Q)1
Explain the following concepts :
(a) Explain the Kinked
(b) Explain how
(c) Difference between income elasticity and cross
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- 1. Characteristics of oligopoly An oligopolistic market structure is distinguished by several characteristics, one of which is difficult entry. Which of the following are other characteristics of this market structure? Check all that apply. Market control by many small firms Market control by a few large firms Neither mutual interdependence nor mutual dependence Either similar or identical products Mutual interdependence1. Characteristics of oligopoly An oligopolistic market structure is distinguished by several characteristics, one of which is either similar or identical products. Which of the following are other characteristics of this market structure? Check all that apply. Market control by many small firms Market control by a few large firms Mutual dependence Mutual interdependence Difficult entry1. In oligopoly a.) firms compete with each other only by raising and lowering quantity because prices are fixed b. )the fewness of firms creates mutual interdependence in pricing among the firms
- 1. Which three of the following characteristics apply to oligopoly? Select one: a. A few large firms account for a high percentage of industry output b. Many small firms account for a high percentage of industry output c. Each firm faces a horizontal demand curve. d. The industry is often characterized by extensive non-price competitionQUESTION 28 Oligopolists may choose to act in a way that generates: Equal profits for all competitors. The largest surplus for consumers. Pressure on each firm to stick to its agreed quantity of output. All of the above. None of the aboveWhat is the big advantage of oligopoly? Question 10 options: Oligopolies are more predictable than monopolistic competition or a monopoly. As an economy of scale oligopoly may produce more goods with a lower cost of production. Oligopolies will always promote technological progress. Trade wars between oligopolies stimulate healthy competition
- QUESTION 7 An oligopoly is a market with only a few sellers, each offering a similar or identical product. True FalseWhich of the following statements is generally true? A. The degree of rivalry in an industry is largely independent of the number of firms. B. The smaller the number of firms in an industry, the greater the rivalry. C. The larger the number of firms in an industry, the greater the rivalry. D. Rivalry is less the larger the number of firms in an industry.2. Firms 1 and 2 compete in a Cournot duopoly. If firm 2 adopts a strategy that raises firm 1's marginal cost, Multiple Choice a)firm 1 will increase its output. b)firm 2 will lose market share. c)firm 1 will enjoy higher profits. d)firm 1 will not increase its output nor enjoy higher profits nor will firm 2 lose market share.
- This assignment is designed to develop skills in collecting and assessing market information and presenting clear written communication about how market structure affects the conduct and performance of firms in an industry. Select one of the three oligopoly markets in Singapore: Telecommunications Supermarkets Ride-Hailing apps Your assignment should address the following questions: 1. 2. 3. How does the market structure (number of firms that compete in a market & relative size of the firms) affect the conduct or behaviour of firms in your chosen industry (price markups & amount spent on advertising) and their performance (profits)? Using one or more Oligopoly models (Sweezy, Cournot, Stackelberg, Bertrand), analyse how firms in your chosen industry make and respond to their competitors' output and pricing decisions. What are the pricing strategies (2nd degree, 3rd degree, Versioning, Bundling, Tying) that firms in your chosen industry implement, and discuss how…5. The Key feature of Oligopoly is interdependence – we saw this in both traditional models and using game theory. a. Explain why price can be very rigid for an oligopoly using the “Kinked Demand Model”: b. Explain how an oligopoly can simultaneously take one features seen for a monopoly and for perfect competition using the “Price Leader Model”: c. Describe how the Hirchmann Herfindahl Index (HHI) provides a more acquire measurement of market concentration than a simple Concentration Ratio like CR4: d. What is the actual dilemma in a “Prisoners’ Dilemma” type of game? e. What is the main reason why real-world Cartels have such a hard time function well?Economics 1. Firms 1 and 2 compete in a Cournot duopoly. If firm 2 adopts a strategy that raises firm 1's marginal cost, Multiple Choice a)firm 1 will reduce its output. b)firm 2 will gain market share. c)firm 2 will enjoy higher profits. d)firm 1 will reduce its output and firm 2 will gain market share and enjoy higher profits.. 2. Firms 1 and 2 compete in a Cournot duopoly. If firm 2 adopts a strategy that raises firm 1's marginal cost, Multiple Choice a)firm 1 will increase its output. b)firm 2 will lose market share. c)firm 1 will enjoy higher profits. d)firm 1 will not increase its output nor enjoy higher profits nor will firm 2 lose market share. **Yes, these are two different questions. Please answer asap. Thank you!**