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Which of the following is an example of a good with a high switching cost?
A. soda that has a distinct taste
B. window cleaner that is best used with a particular brand of sponge
C. a computer program with a lot of complicated features
D. a particular brand of bottled water
With a focus on the concepts introduced in Granovetter (2005), write a brief (1-page) essay comparing his discussion of the Fur of Sudan and Arab merchants with the description in TechCrunch1 of the tech-funding needs in London and the arrival of Sil..
Suppose that there is an increase in the demand for personal computer systems. Explain the likely effects on marginal revenue product, marginal factor cost, and the number of workers hired by the firm.
The economic model of a perfectly competitive market is very unrealistic because it predicts that firms in a perfectly competitive market earn zero profits in the long run. However, in reality, no firm would stay in business if it earned no profits. ..
Should the government limit the amounts that juries are allowed to award victims of medical malpractice, so as to reduce malpractice insurance premiums and thereby lower health care costs.
Describe and label substitution effect and income effect. How has welfare of representative consumer in Peru changed with increasing world relative prices.
q1. for each of the determinants of demand in equation 2.1 classify an example exemplify the effect on the demand for
Explain your intuition as to why premia rise between April and September. Which of options above has lowest time value.
Discuss the source of tension between cooperation and self-interest in a market characterized by oligopoly. Use an example of an actual cartel arrangement to demonstrate why this tension creates instability in cartels.
You are organizing a rock concert to benefit Amnesty International. The concert is to be held in a football stadium that has a seating capacity of 56,000. There are two types of seating: reserved and general.
A firm produces handbags using three workers. On Tuesday, Jane completed 60 bags in 6 hours, Ron completed 50 bags in 7 hours, and Mary completed 80 bags in 5 hours. What was overall productivity of firm.
A primitive economy uses two inputs, capital and labor, to produce two products, food and shelter. The marginal rate of technical substitution between capital and labor in shelter production is 1/3, while the MRTS for food production is 1. How, if at..
Zelda Industries is the only firm of its kind in the world. Due largely to historical accident, it began producing streganomas in 1985 in a vacant warehouse. Virtually anyone with a degree in college chemistry could easily replicate the firm's formul..
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