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(a) Increase in technology and productivity take effect in the red bull market use and label a graph to explain the result of this change on each of the following
(i) Market Price of Red Bull
(ii) Output of Red Bull
(b) Use and Label a new graph to show what happens in the red bull market if the Red Bull labor union successfully negotiates higher wages causing wages causing wage rates increase for factory workers, and if Red Bull runs a successful advertising campaign. Explain the impact these events will have on each of the following
(I) Market Price of Red Bull
(II) Output of Red Bull
(c) The price of the Gatorade increases. Explain the impact of this on each of the following.
(i) Demand for Gatorade
(ii) Supply of Red Bull
(iii) Market price of Red Bull
(iv) Market output of Red Bull
the prevalence of excess capacity is the direct consequence of the existence of monopolistic competition
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