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Which of the following are reasons why the regulatory goal of making big firms smaller is not always desirable? Check all that apply.
It may prevent consumers from benefitting from the lower prices associated with economies of scale.
It may constrain large-scale research and development (R&D).
It may adversely affect income distribution.
The many loopholes present in the federal income tax system prior to the 1986 tax reform caused all of the following except
Let the inverse demand curve for a monopolist's product be P = 100 – 2Q and the cost of production are C = 10Q. Find the optimal price and output if the monopolist uses a uniform pricing strategy. Compute the consumer surplus, the firm’s profits and ..
Participate in a discussion with your classmates regarding the expenditure multiplier effect within your local community, state, or region which magnifies or multiplies expenditures that increase the real GD. Discuss an event in your home city or sta..
Where does NSW get most of its natural gas supplies from up to now? What is happening to total domestic gas production in Australia and Describe the structural change that is taking place in the Australian gas market.
Recall that the Law of Demand states that demand curves are always downward-sloping. That is, people want to buy more of some good when its price is lower. Why is a firm’s short-run demand for labor downward-sloping?
The wall drug store stocks a popular brand of sunscreen. The average demand for the sunscreen is 2100 bottles per year. The cost of each bottle is $2.50. The ordering cost is $10 per order, and the annual carrying cost is 20% of the unit cost. How of..
What are the differences and similarities between a defined contribution plan and a defined benefit plan? As an employee, would you rather have a defined contribution plan or a defined benefit plan?
Basil Robekins has an idea for a new type of ice cream cone made from candy bars (like Butterfinger, etc.). He thinks his normal customers will buy more often because they can pick and choose from over 31 different candy bars and won't get bored with..
In Plato’s virtuous state composed of virtuous citizens, he argues that it must allow for _____ & thus is neither elitist nor totalitarian (i.e., dictatorial). Virtue ethical theories are teleological because they are based on natural ___________.
Suppose Mr Masaki operates a newspaper stand in japan. He sells the Japan Times and English newspaper published in Japan, at the same price as all other newspaper stands do. What is the price elasticity of demand for the Japan Times sold by Mr Masaki..
Discuss both the price elasticity of demand and the cross-price elasticity of demand conditions facing a firm in a monopolistically competitive industry. Include the role of advertising and the creation of brand loyalty.
When a Denver resident purchases a shirt imported from China, this represents a:
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