Why monopoly is broken into a number of competitive parts, Macroeconomics

Assignment Help:

A monopoly is broken into a number of competitive parts. Predict the changes in output and price which are likely to take place.

Making the basic assumptions that,

 1) The individual parts of the monopoly will function as subsidiaries;

 2) Both are supposed to be profit maximisers; and

3) The monopoly had no advantages of scale, then the sum of the individual PMC firms MC curves will equivalent market supply curve - and be identical to the monopoly s MC curve.

 


Related Discussions:- Why monopoly is broken into a number of competitive parts

Paper, Ask Jenny, your niece, is a smart high-school student who wants to m...

Ask Jenny, your niece, is a smart high-school student who wants to make smart choices for her future. Hearing of your course in Business Economics, she has emailed you asking for a

Nation in which the volume of goods, Consider a nation in which the volume ...

Consider a nation in which the volume of goods and services is growing by 5 percent per year. If a country's economic size is growing faster than the rest of the world, then

Economies as a scope, If there are economies of scope and if the price for ...

If there are economies of scope and if the price for each product equals marginal cost, is it possible for a firm to cover all its costs? If the firm's average cost of production d

What is an oligopoly?, Oligopoly is a marketplace where the deliver is cont...

Oligopoly is a marketplace where the deliver is controlled by a small group of companies. In this condition, the actions of single company will have a material effect on the whole

Depending on capacity utilization rate, You operate your own small building...

You operate your own small building company and have decided to bid on a government contract to build a pedestrian walkway in a national park during the coming winter. The walkway

Money demand function, Assume that the money demand function is (M/P) d = 2...

Assume that the money demand function is (M/P) d = 2,200 - 200r, where r is the interest rate in percent. The money supply M is 2,000 and the price level P is2. If the price level

Give an example also diminishing returns to an input, Explain the productio...

Explain the production function and discuss why it is important? Explain diminishing returns to an input and give an example? Discuss why a firm's cost curve might be different in

The LM curve asset market equilibrium., what are the factors that shift the...

what are the factors that shift the LM curve what is the real interest rate and the nominal interest rate. what is expected rate of inflation why has the real interest rate that cl

Eco, illustrate and discuss the implications of various market structures (...

illustrate and discuss the implications of various market structures (competitive and non-competitive)for price determination.

Create a gantt chart of online food store, In today's world when almost ev...

In today's world when almost everything has become easy with just a click on the mouse, even shopping for normal groceries has been revolutionized by making it online. The project

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd