Why are monopolies able to earn positive economic profits in the long run?

Q: What are Indigos competitive advantages in comparison to other players inIndian aviation industry? H...

A: : Comparative advantage: It refers to the ability to produce goods and services at low cost as compa...

Q: (Total Cost and Marginal Cost) Complete the following table, where L is units of labor, Q is units o...

A: Hi Student, as per the guideline, we are providing answer for the first question. Kindly post the re...

Q: Consider the following short-run production function (where L = variable input, Q = output):Q = 6L2 ...

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts fo...

Q: Explain why firms in an oligopoly have anincentive to collude, and why they might fail to do so.

A: Oligopoly market is a market form in which there exists few firms and the industry has a pact of hom...

Q: Only answer the 2nd MCQ question of the growth rate of output per capita

A: The production function explains the relationship between input and output.

Q: Which of these challenges is Israel's economy facing?   A. It is too dependent on exporting oi...

A: Economic problem deals with the problem of human behaviour and their relationship with the utility a...

Q: There is a persistent fear that there will be a high level of deflation. Many economists warn that i...

A:   Meaning of Deflation and Inflation: Deflation refers to the downfall in the total spending of the ...

Q: Multiple Choice Question... pick one answer An economy can increase its capital stock by A) reduci...

A:   Meaning of Inventory or Stock Valuation under Economy System: Inventory or stock valuation under t...

Q: The graph shows the output function, savings function, and depreciation function for an economy. Sho...

A: The Solow Growth Model is a long-run growth model. At equilibrium, the investment rate is equal to t...

Q: Economics Question

A: Aggregate Demand refers to the amount of sales proceedings that an entrepreneur expects from the sal...

Q: Part B:  Aggregate Demand (AD) Curve shows the relationship between the economy’s price level and re...

A: The determinants of AD that is aggregate demand are as follows: AD = C + I + G + (X – M) Where 'C' i...

Q: In pure specific factors model, clothes and rice, capital (K) is specific to clothes and land(A) is ...

A: Tariff refers to the tax imposed by the government on the imported goods in order to restrict the si...

Q: Bell Greenhouses has estimated its monthly demand for potting soil to be the following:N = 400 + 4Xw...

A: (a)   The estimated monthly demand for potting soil is given as follows.  

Q: Chillman Motors, Inc., is an oligopolist and faces the following kinked demand curve: The demand fun...

A: There will be two average(AR) and marginal revenue(MR) curves as given below: When 0 < Q < 50 ...

Q: A local minor league baseball team plays home games in a stadium that has four sections that each ho...

A: The attendance in section four (lowest section) is 2,500. Attendance in third, second and first sect...

Q: What is globalization? How do you think it might have affected the economy over the past decade?

A: Globalization is a process through which markets in the global economy are integrated.

Q: Why will firms in most markets be located at or close to the bottom of the long-run average cost cur...

A: In the long run, all the costs are the variable costs. In long run, costs are lower than that of in ...

Q: Question 4: International Factor MovementsExplain the effects of migration of labour between two nat...

A: International factor movements  are referred to the movements of factors of production like labour, ...

Q: How does the Ricardian model differ from the H-O theory in explaining international trade patterns a...

A: The exchange of goods and services across the borders due to an increase in demand is referred to as...

Q: A friend of yours bought a small apartment building for $100,000 in a college town. She spent $10,00...

A: Hello, thank you for the question. Since there are multiple sub-part questions asked here, only the ...

Q: Please it is simple question write in your own words

A: The national income(NI) of a country shows the economic and production performance of a nation. Ther...

Q: Ten years ago, Ginny inherited $50,000 from her grandmother. She decided to invest all of this money...

A: Answer: Correct option: (a) Explanation: Inflation: it refers to the rise in the prices of goods and...

Q: A friend of yours bought a small apartment building for $100,000 in a college town. She spent $10,00...

A: Hello, Thank you for the question. Since there are multiple subparts questions are posted here, as p...

Q: Why is a production possibilities frontier typically drawn as a curve, rather than a straight line?

A: Production Possibility Curve represents different combinations of good (or services) that can be pro...

Q: Question 1 - Learning Activity 4.4 Consider the market for minivans. Indicate the impact if any on d...

A: a) If people decide to have more children. Since a minivan is capable of holding more children, the ...

Q: Please note that you are only helping me with 2.1 and 2.2 All the other quesitions are just for refr...

A: Aggregate Demand refers to the amount of sales proceeds which an entrepreneur actually expects from ...

Q: The Ford F-150 (best selling vehicle in the U.S. for the last three decades) is currently priced at ...

A: Here, it is given that the United States has the Ford F-150 as the best-selling vehicle for the 3 de...

Q: Explain the effects of migration of labor between the two nations. Use the figure attached and the m...

A: Answer: Introduction: The marginal product of labour: it refers to the additional unit produced when...

Q: For a long time, lending money to finance the purchase of taxi medallions was a very good business--...

A: Hi Student, thanks for posting the question. As per the guideline, we are providing answer for the f...

Q: Suppose that a 5% increase in the minimum wage causes a 5% reduction in employment. How would this a...

A:   Meaning of Money Supply: Money supply generally refers circulation of the money in the economy, un...

Q: Suppose the government of Australia incurs a budget deficit of $50 billion due to increased governme...

A: Since there is a budget deficit, government spending on the debt will increase and the loanable fund...

Q: Assume that an economy is experiencing simultaneous equilibrium in both the product market and money...

A: Crowding out refers to the economic phenomenon in which an increased level of government interventio...

Q: The Grady Tire Company recaps tires. The weekly fixed cost is $2,500, and the variable cost per tire...

A: Fixed cost (FC) = $2,500 Variable cost per tire (VC) = $9 Demand equation v = 200 - 4.75p Here, v re...

Q: View image and please calculate for first funciton.

A: Answer: Given: Coefficient of relative risk aversion: Ry=-yh''yh'ywher h''y means second order deriv...

Q: Greater consumption of alcohol leads to more motorvehicle accidents and, thus, imposes costs on peop...

A: a) The greater consumption of alcohol leads to accidents, so it presents the negative externality as...

Q: A snowboard company currently hires 10 skilled employees who are paid a weekly wage of $1,000. The c...

A: The cost of manufacturing 240 snow-boards by employing 10 employees to whom the company is paying $1...

Q: Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per unit are: PF =...

A: The amount of goods that a consumer can purchase over a given period of time is limited by the consu...

Q: What is the relationship between price elasticity and position on the demand curve? For example, as ...

A: Position on the demand curve refers to the movement on the curve itself and not sideways. The price ...

Q: Suppose, initially the Australian economy is at full employment (in other words the economy is at th...

A: Aggregate demand shows the demand for an economy as a whole whereas aggregate supply shows the suppl...

Q: The National Potato Cooperative purchased a deskinning machine last year for $150,000. Revenue for t...

A:   Meaning of Revenue Revenue refers to selling a particular commodity or product at a certain price ...

Q: In an economy, Real GDP (base year = 1996) is $100 billion and the Nominal GDP is $150 billion. Calc...

A: Gross Domestic Product GDP is the sum total of all goods and services that are produced by the econo...

Q: 1 1A) Using the static AD/AS model to explain how the job keeper (wage subsidy) policy worked to sus...

A: The wage subsidy is simply beneficial to the worker. It is a direct payment to the worker from the g...

Q: Imagine a firm’s marginal abatement cost function with existing technologies is: MAC = 12 – E. If th...

A: Initial MAC = 12 - E New MAC = 6-0.5E Initial tax = $2 New tax = $3

Q: Consider a simple economy that produces two goods: pencils and envelopes. The following table shows ...

A: The gross domestic product of a nation is the aggregate of the monetary values of all final goods an...