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Explain why the cost structure associated with many kinds of information goods and services might imply a market supplied by a small number of large firms. (At the same time, one internet business such as grocery home deliveries have continually suffered steep losses regardless of scale. Explain why.) Could lower transaction costs in e-commerce ever make it easier for small suppliers to compete? As noted in Chapter 3, network externalities are often an important aspect of demand for information goods and services. (The benefits to customers of using software, participating in electronic markets, or using instant messaging increase with the number of other users.) How might network externalities affect firm operating strategies (pricing, output, and advertising) and firm size?
Compute the unweighted-average nominal tariff rate for Tarheelia nominal tariff rate for Tarheelia.
Briefly discuss the current poverty numbers in the U.S. What can we expect welfare policy to look like in the future? Need references with statistics; Please no copy and paste and please no plagiarism.
Think about an advertisement (in any medium) that had either a strongly positive or strongly negative effect on your attitude toward the product being advertised or the advertiser itself. Why did the ad have this effect? If you responded positively t..
A pharmaceutical firm faces monthly demands in the U.S. and Mexican markets for one of its patented drugs.
neither person may trade away any water to the other for exchange for more bread. Set up an Edgeworth Box to depict this situation and elucidate why it is unlikely to be Pareto efficient.
q1. explain the role culture may play in influencing entrepreneurship both at the individual and social level. define
Evaluate each of these three options in the context of the economic concepts and business strategies we have learned in the course and explain how you would deal with this situation - Is this consistent with profit-maximization? Given the current h..
Draw their budget set (the combination of housing and other goods that they can afford) in housing-other goods space.
Explain what occurs when a new technology makes another one obsolete in terms of economic profit.
Which of the following best characterizes changes in the U.S. long-run aggregate supply curve during the past 50 years (taking into account that the economy has acquired better technology)?
If farmers were to decry the effect of this new technology on the price of milk and lobby government to set the price of milk at the price before the invention, elucidate the result.
The U.S. economy fell into a recession in 2001 and then proceeded into a slow-growth recovery due to a decline in investment. Show how a change in investment can have a big impact on GDP causing a national recession. Illustrate by showing what it loo..
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