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Using supply and demand and competitive analyses, explain what happens to a pharmaceutical company’s revenues and profits from an individual drug once it loses its patent protection. Then identify at least one strategy the company can use to mitigate the losses; be sure to support your suggestion using economic analysis.
What economic example could be used to demonstrate incentives that were used to "nudge" buyers/sellers
Popular movements like "buy/shop local" seem to contradict the principle of specialization according to comparative advantage. How does the theory of comparative advantage influence your opinion on these movements and why?
q.suppose that the us government determines that cigarette smoking creates social cost not reflected in the current
Explain how increasing returns to scale in production can be a basis for trade. If the foreign export supply is perfectly elastic, what is the optimal tariff that Home should apply to increase welfare? Explain. If the foreign export supply is less th..
Using the supply-and-demand model, explain what would happen to the supply curve during a drought. Also explain the effect on the price of water as illustrated by the graph.
The engineering team at Manuel’s Manufacturing, Inc., is planning to purchase an enterprise resource planning (ERP) system. The software and installation from Vendor A costs $380,000 initially and is expected to increase revenue $125,000 per year eve..
disposable personal income decreases by $50 billion and trade deficit is reduced by $15 billion. By how much has national income (Y) change.
pricing strategy varies significantly across different market structures. the pricing guidelines in a monopoly market
Consider the following market for used cars. There are many sellers of used cars. Each seller has exactly one used car to sell and is characterized by the quality of the used car he wishes to sell. Let θ ∈ [0, 1] index the quality of a used car and a..
Draw a graph showing a supply and demand curve for wine. Indicate clearly the equilibrium price and quantity. Suppose that a lack of rain during the year has caused the grape harvest to be smaller than usual (grapes are an input for making wine). Sho..
George and John, stranded on an island, use clamshells for money. Last year George caught 300 fish and 5 wild boars. John grew 200 bunches of bananas.
Two firms are competing for output. Leader firm market demand is P=1200-Q and other firm demand is Q2=400-0.5Q1. Marginal cost for both is $200. How much is output for firm 1 and 2?
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