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When we think of entrepreneurship, we often think of small, start-up firms. Describe how a large corporation in an established industry can be "entrepreneurial" and discuss how Peng's entrepreneurial strategies apply in this situation.
Remember to use in-text citations and list APA style references to support your response.
Describe an example of a real-world industry or market that would be considered by economists to be a natural monopoly. What characteristics of the industry make it a monopoly? What is the impact of the monopoly power on its customers?
Mr. A derives utility from martinis (m) in proportion to the number he drinks: U(m) = m. However, Mr. A is very particular about his martinis: He only enjoys them made in the exact proportion of two parts gin (g) to one part vermouth (v). Calculate t..
Suppose the firm A&B is a monopolist. What is the profit-maximizing price and quantity? How much profit does the firm collect? How much consumer surplus does the firm generate? What is the deadweight loss? Suppose consumers cannot see the differences..
Yesterday Susan determined that the risk-free rate of return rRF, is 3 percent, the required return on the market portfolio, rM, is 10 percent, and the required rate of return on Stock K, rK, is 17 percent. When Susan considers the effect of this cha..
Free Trade has been growing! Does NAFTA [North America Free Trade Agreement] sound familiar? NAFTA was passed under the Clinton administration. Nine years later, U.S. Congress approved CAFTA [Central America Free Trade Agreement] which was signed int..
What are efficiency, producer surplus, worker surplus, and total gains from trade? Why would we expect regional wage levels to converge? What happens to total gains from trade as regional wages converge? How do payroll taxes affect labor markets (i.e..
If you deposit $2000 in a bank and if the annual interest rate is 2% in year 1 and 5% in year 2 and 8% in year 3, how much money will you have in your account at the end of year 3 if you don’t withdraw any money from this account? Explain your answer..
Which of the following is likely to occur when copyright laws are enforced?
Consider the utility function U(X,Y)=30X^.8 Y^.2. Explain why these points are unique on this indifference curve. Please use at least 3 properties of indifference curves and any of the assumptions regarding utility to justify your response. Your resp..
How does the change of consumer and producer surplus compared to the tax revenue.
Assume that the University Regents implement a policy that requires the box office to sell all tickets at a price of $35 regardless of who is playing. Think about all of this information, Then: Draw appropriate supply and demand curves to represent t..
How is a bond's current yield calculated? Why is current yield a more accurate approximation of yield to maturity for a long-term bond than for a short-term bond?
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