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Write down some similarities and differences between monopolies and oligopolies. How would you classify Microsoft? How would you classify the power industry in your area? Describe your reasoning.
Microeconomics, Economics
Question: You are buying a car for $20,000 with $4,000 down payment. You will pay for the remaining amount with 30 equal monthly payments with interest at 12%, compounded monthly. How much is your monthly payment? The re ...
Question: If you owned a small firm that had become somewhat established, but you needed a surge of financial capital to carry out a major expansion, would you prefer to raise the funds through borrowing or by issuing st ...
Question: In the solow growth model, with labor-augmenting technological progress and population growth, if the production function is y= k^1/2, s= .15, depreciation= .02, n=.02 and g= .01: a. what is the steady-state le ...
Question: In the case of a binding price ceiling, why is the price below the equilibrium price? Isn't it possible for suppliers to increase price (to hit the demand curve) at the quantity traded without losing consumers? ...
Question: If the Fed were to pursue an easy-money policy (lower interest rates) why would we expect this to stimulate investment demand? Are there limits to the power of an "easy money" policy; are we in a period now whe ...
Question: Interest groups with normatively "good" causes often use profesisonal lobbyists; this is evident from AARP's expenditures. Do you believe there is an ethical issue with interest groups using lobbyists? Why or w ...
Question: Need the following question answers: How does the fact that imports vary directly with GDP affect the stability of the domestic economy? How has America been affected by this, and what are some ways that it cou ...
Question: In the model of perfect competition, all firms are price-takers since they treat price as a market-determined constant. Firm Perfcomp's total revenue function is TR(Q) = P.Q, in which P equals the output price. ...
Question: In the model, the level of investment depends on the level of domestic savings. If the level of domestic savings is too low to allow the economy grow to the Golden Rule level without taxation, what other source ...
Question: Emily likes pretzels and pepsi. She bought 10 bottles of Pepsi for $2 each. Her marginal utility for the tenth bottle was 12 utils. She also bought 7 bags of pretzels for $4 per bag. Her marginal utility for th ...
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