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The US Postal Service is facing increased competition from firms providing overnight delivery of packages and letters. Additional competition has emerged because messages can be sent via computers. What will be the effect of this competition on the market demand for mail delivered by the post office? Substantiate your argument based on concepts related to law of demand and the law of supply.

Provide two exs of actions taken by company, government, or organization whose effect is to prevent specific markets from reaching equilibrium. What evidence of excess supply or excess demand can you cite in such exs?

Microeconomics, Economics

  • Category:- Microeconomics
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