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QUESTION 1
i) Distinguish between the different kinds of concentration measures
ii) Briefly describe the axioms of Hannah and Kay (1977)
iii) Derive and explain the Dorfman and Steiner (1954) condition for optimal advertising
QUESTION 2
i) What are the different stages of economic growth?
ii) What are the major causes of deindustrialization?
iii) Is there a stable link between inflation and unemployment in the long-run?
Price Ceilings and Floors 1. Explain the impact on the market if the government imposes the following price ceilings and floors. 2. Draw two graphs, one for eggs, and one
(a) Show the importance of Non Profit Organisations in Small Island Economies. (b) Show the importance of Foreign Direct Investment in Small Island Economies. Comment on th
Why does economic development engage structural change? The process of development needs structural change. Usually economies develop by moving resources through agricultural
QUESTION (a) What are the main types of unemployment? (b) Mauritius has been facing an alarming rate of unemployment during the last 5 years (i) What reasons could explai
EXPLAIN WHY INTERDEPENDENCE IN OLIGOPOLY RESULTS IN A TENSION BETWEEN COOPERATION AND COMPETITION.
explain four major managerial factors that affect diseconomies of scale
Lottery Ticket Win! You win the lottery and are promised by the Lottery Commission $12,000 a year for 6 years, starting next year. Assume the interest rate is 9%. What is the pre
ITunes is rapidly dominating the global market for music sale. Assume that the download price for Dance artist Calvin Harris's single "Feel So Close" is $1.19 and the number of d
An agent has a utility function over goods 1 and 2 of the form U = x c 1 x d 2 where c is your 1- digit number and d is your minimum number. The agent's income is equal to you
1. Consider the market where there is product differentiation with two firms. The firms are choosing prices p1 and p2 and have demands given by q1 = 40 - 0.5 p1 + p2 q2 = 60
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