QUESTION 57 In general, horizontal mergers will O increase the number of firms in an industry. O increase competition in an industry. O reduce economic profits in an industry. O decrease the number of firms in an industry.
Q: A rise in investment by $200,000 will lead to a __________________________________. Group of answer…
A: The rise in the investment leads to rise in the expenditure in the economy. The expenditure helps to…
Q: 22-2. Zoning. The county intends to rezone an area from industrial use to residential use. Land…
A:
Q: During 2015, there was a substantial increase in stock prices, as well as a reduction in the world…
A: The long run aggregate supply curve is thought to be an upward curve at the economy's ongoing…
Q: The total surplus (consumer surplus plus producer surplus) is greatest when which of the following…
A: Equilibrium is achieved at a point where demand curve intersects supply curve.
Q: The restaurant industry develops an exciting new technology, a robot that quickly prepares food in…
A: The consumer surplus is the benefits earned by the consumers in the market at the equilibrium or…
Q: The AD–AS model indicates that the decrease in housing prices increased wealth, stimulated aggregate…
A: Aggregate demand is the sum of consumption, investment, government spending, and net exports. A…
Q: Question 13 was not answered.
A: Price elasticity of demand is an estimation of the adjustment of the utilization of an item…
Q: What is the uniform series of payments equivalent to the following present values a) $50,000.…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Gomez runs a small pottery firm. He hires one helper at $12,000 per year, pays annual rent of $5,000…
A: Accounting profit likewise alluded to as accounting profit or monetary profit, is net gain acquired…
Q: The Krusty Krab initially has 2 employees that each can serve 260 customers per day (service…
A: We are going to use single variable maximisation technique to answer this question.
Q: New research demonstrates that celery is a healthy snack. The resulting increase in demand for…
A: The measure that depicts various quantities of goods and services being demanded and supplied at…
Q: Explain two ways in which a consumer could be described as vulnerable. What factors might make a…
A: ▪︎One way a customer could be depicted as defenseless is that they might have a previous situation…
Q: When inflation rises, people must pay a higher rate on their loans. This is called the effect and it…
A: The shift in borrowing and spending habits following an interest rate modification is known as the…
Q: The act of AZ legislators convincing FL legislators to support (help pay for) the Central Arizona…
A: In this model, constituents choose their agents as delegates for their supporters. These delegates…
Q: Rosa received a corgi pillow as a raffle prize; she would have been willing to pay $18 to buy it…
A:
Q: Starting a gluten free and nut free restaurant has been a lifelong dream of Sydney Quintero, since…
A: A payoff matrix is a way to show the output of players' choices in a game. A payoff matrix does not…
Q: Consider a health insurance market. The market has many insurers so that each insurance company…
A: Given: U(X) = X0.5 Initial wealth = $200 Gym membership = $6 which reduces going to a doctor from…
Q: How does fixed cost affect marginal cost? Do fixed costs affect perfectly competitive firm’s output…
A: total cost is defined as the sum of all the expenses incurred by the producer to produce goods.…
Q: Imagine that you are the leader of Bank of Canada's economic policy advisory board. Explain why…
A: Please find the answer below. MONETARY POLICY: It refers to the financial policies adopted by the…
Q: QUESTION 9 09. Cross price elasticity of demand for automobiles and gasoline is likely to be a)…
A: We are going to identify the relationship between Automobiles and Gasoline to answer this question.…
Q: 1. Suppose that initially the money supply (M1) of the economy is made up of $1,000. a. If people…
A: Money supply is equal to the currency and total checking deposits with banks. M = C+D The money…
Q: Consider the following demand function: Step 1 of 2: Find the elasticity function.
A: Given the demand function: D(x) = 3 - 2xUse the below formula to find the elasticity function:E(x) =…
Q: What is indirect tax? Write its four definitions.
A: Tax is compulsory contribution on the wealth of a person or a body of person for the services of the…
Q: 3. Explain in details whether the underlined part of statement is true or false In a monopoly…
A: The monopoly market is characterized by the presence of single firm. The single firm is price maker…
Q: If the inverse demand curve a monopoly faces is p = 100 - 2Q, MC is constant at 16, and the…
A: The profit is maximized where the MR=MC in the monopoly market. The deadweight loss is created in…
Q: a. From 2015-2020, in how many years was the CBO too optimistic (underestimating the deficit)? b.…
A: Disclaimer- “Since you have asked multiple question, we will solve the first three question for you…
Q: Mr. H Salt purchased an 1/8 interest in a producing oil well for $45,000. Recoverable oil reserves…
A: Depletion alludes to an accumulation bookkeeping technique used to decide the cost of separating…
Q: All the followings are likely to be developing countries' comparative advantage for trade EXCEPT OA.…
A: Developing countries are those countries that have still not reached a level of per capita income,…
Q: o help combat the high cost of avocados, assume a policy maker proposes a binding price ceiling on…
A: The measure that depicts various quantities of goods and services that are being demanded by…
Q: What is merits and demerits of direct tax?
A: A tax is described as one that the government imposes on citizens who participate in the economy in…
Q: Consider a town with three residents. The residents' demand curves for various acres of a public…
A: The elasticity of demand is the reaction of demand due to change in price of goods and services,…
Q: D 0 Q 0 4 8 12 16 20 24 Using the midpoint basis, and expressing the answer in fraction or integer…
A: Disclaimer: “Since you have asked multiple questions, we will solve the first question for you. If…
Q: R3
A: The demographic transition is a model under developmental economics that relates the population…
Q: What are the objectives and mo monetary advantages of international fund (IMF) ?
A: International Montery Fund acts as a lender to the governments of different member nations. It also…
Q: 15. At the market equilibrium In Figure B, what is the efficiency loss due to the underproduction?…
A: Figure B represents positive externality where Marginal social benefit MSB is greater than Private…
Q: re are five firms, each of which has a constant marginal cost given by p=100-2Q, MC = 20. he firms…
A: Profit Maximization Profit maximization is the trust that firms control output and price levels to…
Q: 000 worth of apples, of which $700 are sold to a bakery and $300 are sold to ers. A water supplier…
A: DISCLAIMER “Since you have asked multiple question, we will solve the first three subparts for you.…
Q: If the government increased spending by $8 million as part of expansionary fiscal policy, calculate…
A: MPC is the marginal propensity to consume, which is the proportion of change in income spent on…
Q: Scenario Snackyville sells a wide variety of snacks to retail grocery stores. Snackyville recently…
A: Firms use a variety of pricing methods to achieve a competitive edge and increase profits, including…
Q: Reading Quiz (Ch. 3) - ECON-230 x le/content/1230937/viewContent/19935379/View = (Ch. 3) Time…
A: Please find the answer below. MARKET: The market is a means by which the exchange of goods and…
Q: in the IS-LM framework, the OA lending: borrowing OB. bank; prime interest rate directly reflects…
A: A central bank is a public establishment that deals with the cash/currency of a nation or gathering…
Q: What is the world development report of the world bank (1994) and what does it say about the Indian…
A: Introduction - In its 17th World Development Report released in June 1994, the World Bank emphasized…
Q: Attempts 2. Calculating marginal revenue from a linear demand curve The blue curve on the following…
A: The demand curve shows the negative relationship between price and quantity demanded, other things…
Q: P, R, C AB А C G I j where h. The allocative efficiency is at 1. The market equilibrium point is at…
A: Disclaimer :- Since you asked multipart questions we are solving only the first 3 subparts . If you…
Q: In the Insulin market, the government decides to regulate a Without this regulation, how many…
A: Given information; In the insulin market, the government decides to regulate a price with a ceiling…
Q: Y = 0.5*X Identify if this line is a DEMAND CURVE or SUPPLY CURVE.
A: The working of the markets is theoretically explained by forces of demand and supply curves. The…
Q: 1. Refer to Table 1-1. CBO's Baseline Budget Projections, by Category (pg. 7). It is projected that…
A: A government budget is a report that presents an overseeing body's expected incomes and proposed…
Q: Suppose that the monopolist can produce with total cost: TC = 200. Assume that the monopolist sells…
A:
Q: 10: 9. 8 7 6+ S 4- 3+ 012 3 4 5 6 7 8 9 10 Quantity (thousands of workers) 5,000; $5 per hour The…
A: Labour market in perfect competition achieve equilibrium through demand and supply forces .
Q: Assume you have your car broken down just before the weekend. You value your weekend trip as much as…
A: Symmetric game is defined as a game where the pay-offs of a player depends on the strategies that…
Step by step
Solved in 2 steps
- What is the market situation exist when there are many buyers and many sellers? O Monopoly Recession O None of the choices Oligopoly O Perfect competition *dr. phelps (Edmund Phelps) claims the US is becoming more corporatist -- which of the four models (pure competition, monopolistic competition, oligopoly, or monopoly) may be the most useful for analyzing the microeconomic behavior of firms in today's economy? discuss whethere you belibe Phelps is correcg in concluding that our current social-political-economic system does not facilitate nor stimulate our economy's dynamism as much as it did in the past. response should be at least 5 sentences per each part of the question. so a total of 10 sentences or more.Table 17-4 Only two firms, ABC and XYZ, sell a particular product. The following table shows the demand curve for their product. Each firm has the same constant marginal cost of $8 and zero fixed cost. O a. $5 O b. $15 Price (Dollars per unit) O c. $20 O d. $10 28 26 24 22 20 18 16 14 12 10 8 6 4 2 0 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 Refer to Table 17-4. How much less do each of these firms earn in the Nash equilibrium than if they jointly maximize profits? Quantity Demanded (Units) Total Revenue (Dollars) 0 130 240 330 400 450 480 490 480 450 400 330 240 130 0
- Perfect competition is great for consumers, but not for producers. Present a perfect competition equilibriumusing the average cost and marginal cost curve framework used in class, and explain using words why thisequilibrium is good for consumers but not for firms. Then, assume the firm innovates in a way that gives thefirm market power and provides the firm with an economic profit. In a second diagram, show the situationfor this firm after the innovation. Use your results to explain using words why free market capitalism tendsto provide an improving living standard for consumers over time.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.Intellectual property laws are intended to promote innovation, but some economists, such as Milton Friedman, have argued that such laws are not desirable. In the United States, there is no intellectual property protection for food recipes or for fashion designs. Considering the state of these two industries, and hearing in mind the discussion of the inefficiency of monopolies, can you think of any reasons why intellectual property laws might hinder innovation in some cases?
- May and Raj me the only two growers who provide organically grown corn to a local grocery store. They know that if they cooperated and produced less corn, they could raise the price of the com. If they work independently, they will each earn 100. If they decide to work together and both lower their output, they call each earn 150. If one person lowers output and the other does not, the person who lowers output will earn $1 and the other person will capture the entire market and will earn 200. Table 10.6 represents the choices available to Mary and Raj. What is the best choice for Raj if he is sole that Mary will cooperate? If Mary thinks Raj will cheat, what should Mary do and why? What is the prisoners dilemma result? What is the preferred choice if they could ensure cooperation? A = Work independently; B = Cooperate and Lower Output. (Each results entry lists Rajs earnings first, and Marys earnings second.)What is the relationship between product differentiation and monopolistic competition?How is the perceived demand curve for a monopolistically competitive film different from the perceived demand curve for a monopoly or a perfectly competitive film?
- Return to Figure 9.2. Suppose P0 is 10 and P1 is 11. Suppose a new firm with the same LRAC curve as the incumbent tries to bleak into the market by selling 4,000 units of output. Estimate from the graph what the new firms average cost of producing output would be. If the incumbent continues. to produce 6,000 units, how much output would the two films supply to the market? Estimate what would happen to the market price as a result of the supply of both the incumbent firm and the new entrant. Approximately how much profit would each firm earn? Figure 9.2 Economics of Scale and Natural MonoployTable 16-1 The following table shows the output produced by each of the top eight firms in four industries as well as the total industry output for those industries. Firm Industry A Industry B Industry C İndustry D 1 50,000 18,000 37,000 36,500 35,500 40,000 2 47,000 17,750 39,000 3. 43,000 17,250 37,000 4 38,000 16,500 34,000 34,000 32,000 15,500 32,000 30,000 25,000 14,250 29,500 25,000 17,000 12,750 26,500 19,000 12,000 8,000 11,000 23,000 Total 270,000 130,000 300,000 250,000 Refer to Table 16-1. Which industry has the highest concentration ratio? Oa. Industry A Ob. Industry D Oc. Industry B Od. Industry CQuestion 1 Which of the following is one way that market power can lead to innovation? O A) Firms are able to make increased economic profit which can be used for innovation. O B) There is more social pressure on firms with large market power to innovate. C) Increased market power means there is more competition, leading firms to compete more. D) Production is more expensive for firms with more market power than firms with less market power, leading them to look for new ways to produce. Question 2 6 Which of the following is NOT true about large firms? O A) Large firms have advantages in financial markets. B) Large firms cannot exploit economies of scale, so they must use innovation to reduce cost. C) Large firms have more resources to exploit an unexpected discovery. D) Large firms can spread the cost of research over a larger sales base.
