QUESTION 1:

How does the difference between private and social values explain market failure even with perfect competition and market equilibrium in the case of public goods and externalities? Allow public goods to be just like private goods in terms of exclusion and luxury

QUESTION 2:

Use the following example outline to analyze an example of deregulation. Market solution, market failure, government intervention, government failure, and deregulation. Each of these term should be explained in the context of your example.

QUESTION 3:

How does globalization explains the pattern of changes in economic sectors in USA? How technology and immigration contribute to the process?

QUESTION 4:

What does game theory tells about the behavior of firms in oligopoly? Given that collusion is illegal how oligopolies still form a tactical monopoly?

QUESTION 5:

Set up a payoff matrix with two players each with two options. Describe how each player may chose their action, based on their attitude towards risk taking and availability of information on the expected behavior of the opponent?

QUESTION 6:

Explain how the regulation of a natural monopoly can be a situation with no good choices. Including a problem of moral hazard as well as the option of deregulation.

QUESTION 7:

Give an example to illustrate aspects of non-price competition in a monopolistically competitive market structure.