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Discuss the difference between a traditional monopoly and a natural monopoly. Include the following points in your discussion.
Identify the incentives to produce and price the product for a traditional monopoly and natural monopoly.
Is it best for society, i.e., does society receive more welfare, to have natural monopolies provided by a private firm or by the government?
Explain using examples such as the U.S. Post Office, utility companies, or cable companies.
Velocity in the country of nemedia is always stable.In 2001,the money supply was 100 billion and real GDP was 300 billion .in 2002,the money supply increse by 10 percent,real GDP increased by 5 percent and nominal GdP equaled 660 billion.by how m..
Discuss how do government bureaus differ from private firms and explain why is there good reason to believe that bureaucrats will seek to supply more than efficient level of their output in any year?
In Japan, potential GDP is 600 trillion yen and the table shows the aggregate demand and short-run aggregate supply schedules. Real GDP Demanded Real GDP Supplied in the Short Run Price Level (trillions of 2000 yen) (trillions of 2000 yen)
A firm purchases capital and labour in competitive markets at prices of r=$6/machine-hour and w=$4/labour-hour,respectively. With the firm's current input mix, the marginal product of capital is 12kg/machine-hour and the margi..
Determine which of the following transactions would contribute to a United States current account surplus and why?
Many have claimed that outsourcing by American companies is costing American jobs. However, companies claim that they cannot compete if they do not cut cost and one effective way of cutting cost, is to have some of your goods produced outside
The Economist regularly publishes the Big Mac index to examine the validity of purchasing power parity. If purchasing power parity holds, a consumer should be able to take the same amount of money required to buy a Big Mac in the U.S.
Evaluate the organisation's strategies: first for international entry, then for organising and structuring its global operations, and finally for maintaining competitive advantage in the face of new challenges and changing conditions.
A possible international monetary regime consists of a world central bank controlling monetary policy and issuing a single currency used throughout the world.
As trade blocks continue to expand, what will be impact on American business, in terms of how businesses create value through integrating the production and distribution of goods, services, and information?
Flexible Exchange Rates and Economic Policies - In the IS-LM-BP model suppose the consumption function and the investment function
An examination of Ricardian model of comparative advantage yields clear result that trade is profitable for each of two trading partners since it permits for an expanded consumption choice for each.
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