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Venture capitalists provide funds to finance new companies (start-ups), usually in return for a share of the firm’s initial profits (if any). Of course, venture capitalists look to back experienced entrepreneurs with strong products (or at least product blueprints). But potential competitors and the structure of the market into which the new firm enters also are important. According to the conventional wisdom, the best start-up prospects involve entry into loose oligopolies. What economic factors might be behind this conventional wisdom?
Why should the government intervene in situations of market failure? Should the government intervene if a market is fully efficient, why? What additional rationals are present if there is inadequacy in the market?
Costs imposed on future users of a resource are called ... 1) Transactions costs 2) Social costs 3) Private costs 4) Depletion costs 5) User costs
Is conspicuous consumption for real or just a rational response to higher income? How does this effect the consumption curve and aggregate expenditures model? What is the relationship with GDP?
suppose that an economy consumes all salary income and saves all capital income. Describe if the factors of production earn their marginal product.
Jake drove Amanda's truck to the football bowl game because his car was broken. On the way home, Jake was involved in an accident that was his fault. The resulting liability damages totaled $85,000. Jake has $100,000 liability coverage on his car, an..
The higher the percentage of debentures, the greater the risk borne by each debenture, and thus the higher the required rate of return on the debentures.
Think of another good that you have purchased recently (or you could continue with the good you selected in TDA I). Be specific (e.g. is it breakfast cereal in general or Cheerios cereal specifically). If the price of this item increases, how would t..
Which of following arguments is president using to justify trade restriction on ball bearings.
By showing the behavior of both a monopoly and a dominant firm in the same graph, show that monopoly profits are greater than the profit of a dominant firm in the no-entry equilibrium. Show how much consumers benefit from buying from a dominant firm-..
Elucidate an example of a microeconomic and macroeconomic phenomenon. Would you give an example of a microeconomic decision you have made at home or work.
How much equity would she have had in the house at the time of its sale.
The Wall Street Journal's experience after it increased its cost to 75 cents. Illustrate what implicit assumptions are the publishers also the analysis making about cost elasticity.
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