ECO550 Week1 Discussion Latest 2017 August
Week 1 Discussion
"Supply and Demand" Please respond to the following:
- From the scenario for Katrina’s Candies, examine the key factors affecting the demand for and the supply of a good in general and Katrina’s Candies specifically. Distinguish between a change in demand and a change in the quantity demanded (movement along the demand curve). Propose two (2) methods in which organizations that provide the good may utilize this information.
ECO550 Week 2 Discussion Latest 2017 August
Week 2 Discussion
"Estimating Demand and Its Elasticities" Please respond to the following:
- From the scenario for Katrina’s Candies, examine the procedure Herb will use to estimate the demand model developed in the scenario for Week 1. Analyze the elasticity of demand for products within the selected industry relevant to Katrina’s Candies. Determine the factors involved in making decisions about pricing these products that you believe to be the most influential.
ECO550 Week 3 Discussion Latest 2017 August
Week 3 Discussion
"Managing in the Global Economy and Outsourcing Offshore" Please respond to the following:
- From the scenario for Katrina’s Candies, assuming the absence of quantitative data, determine the qualitative forecasting techniques that could be used within this scenario. Now, assume you have acquired some time series data that would enable you to make forecasts. Ascertain the quantitative technique that will provide you with the most accurate forecast.
- When deciding whether or not to outsource offshore, list the key factors aside from maximizing profits that managers should consider. Determine the key factors that you believe to be the most influential.
ECO550 Week 4 Discussion Latest 2017 August
Week 4 Discussion
"Production Economics and Decisions" Please respond to the following:
- From the scenario for Katrina’s Candies, determine the relevant costs for the expansion decision, and distinguish between the short run and the long run costs. Recommend the key decision-making criteria that Katrina’s Candies should use for expansion decisions in the short run and in the long run. Determine under what conditions, a company should or should not continue to produce the good or service.
ECO550 Week 5 Discussion Latest 2017 August
Week 5 Discussion
"Market Structures and Cost Management" Please respond to the following:
- From the scenario for Katrina’s Candies, determine the appropriate type of market structure for the situation in question. Cite at least four (4) defining characteristics that have helped you reach this decision regarding the appropriateness of the chosen structure.
- Imagine that you are a manager of a chemical company. An accident has occurred in which chemicals leaked into the ground water nearby. The community is unaware of the accident. Compare the primary costs involved in cleaning up the water immediately (and thus confessing) versus hiding your culpability now and possibly paying more in the future. Predict the impact on profitability in both situations.
ECO550 Week 6 Discussion Latest 2017 August
Week 6 Discussion
"Market Structures" Please respond to the following:
- From the scenario, assuming Katrina’s Candies is operating in the monopolistically competitive market structure and faces the following weekly demand and short-run cost functions:
VC = 20Q+0.006665 Q2 with MC=20 + 0.01333Q and FC = $5,000
P = 50-0.01Q and MR = 50-0.02Q
*Where price is in $ and Q is in kilograms. All answers should be rounded to the nearest whole number.
·
- Algebraically, determine what price Katrina’s Candies should charge in order for the company to maximize profit in the short run. Determine the quantity that would be produced at this price and the maximum profit possible.
ECO550 Week 7 Discussion Latest 2017 August
Week 7 Discussion
"Predicting Price-Setting Strategies" Please respond to the following:
- From the scenario for Katrina’s Candies, determine the importance of predicting the pricing strategies of rival firms in an industry characterized by mutual interdependence. Examine the common price setting strategies of airlines that use game theory. Predict the potential effects of such pricing strategies on the demand for seats, and conclude the resulting impact on the profitability of the airlines.
ECO550 Week 8 Discussion Latest 2017 August
Week 8 Discussion
"Entering a Merger and Organizational Form" Please respond to the following:
- From the scenario for Katrina’s Candies, examine the major implications for firms entering into a merger. Explain the criteria the U.S. Department of Justice and the Federal Trade Commission would follow when deciding on whether or not to approve a proposed merger.
ECO550 Week 9 Discussion Latest 2017 August
Week 9 Discussion
"Impact of Government Regulation" Please respond to the following:
- Take a position on whether the banking industry needs more or less government regulation. Support your position with two (2) examples of the impact of regulation.
ECO550 Week 10 Discussion Latest 2017 August
Week 10 Discussion
"Long-Term Investment and Cost-Benefit Analysis" Please respond to the following:
- From the scenario for Katrina’s Candies, suggest one (1) method in which Herb could use a cost-benefit analysis to argue for or against an expansion. Create three (3) optimal decision rules for Katrina’s Candies (e.g., whether to hire more staff or hire temporary workers to meet production schedules). Assess both the short-term and the long-term costs and benefits of obtaining a graduate degree. Support your decision to obtain a graduate degree with a cost-benefit analysis of your particular situation.
ECO550 Week 11 Discussion Latest 2017 August
Week 11 Discussion
Please give most enjoyable part or parts of the class for you, and asThe state of education affects our economy of course: Address the following as The state of education affects our economy and managerial economists of course:
John Stossel- Stupid InAmerica documentary https://www.youtube.com/watch?v=DIsZpttVSTY&t=7s
from movie (True Story) Lean on Me with Morgan Freeman-education and poverty and discrimination topics.
trailer http://www.youtube.com/watch?v=evA9nkdOhKU
other scenes- http://www.youtube.com/watch?v=Z6zryIyVlmo
http://www.youtube.com/watch?v=wIKVj18BgXs
http://www.youtube.com/watch?v=pdgf1Np5I0g
http://www.youtube.com/watch?v=_SbkHgx6YIo
Interviews with the real Joe Clark http://www.youtube.com/watch?v=r-BtlogDhTg http://www.youtube.com/watch?v=vy51puXEzaM
Class, Do check this out with comparison to Korea. above. How about these videos from this week about Detroit Public Schools--
Warning--Gross!--Detroit Teachers Are SICK Of The Crumbling Schools Duration: (8:37)
User: The Young Turks - Added: 1/23/16 YouTube URL: http://www.youtube.com/watch?v=Lpa-KsuVsqE
Education in South Korea-- http://www.youtube.com/watch?v=ZP2YIZcMecI http://www.youtube.com/watch?v=BrccO4O1zWs http://www.youtube.com/watch?v=_9J5mDbzgYY
and to laugh or cry-- Kiss —Jay Leno’s “Jaywalking ” for example, that reflect education in U.S. videos. The examples are as startling as the videos! Truth is stranger than fiction as they say. https://www.youtube.com/watch?v=zZ0cwMkOFPQ
ECO550 Week 3 Asignment 1 Latest 2017 August
Assignment 1: Demand Estimation
Due Week 3 and worth 200 points
Imagine that you work for the maker of a leading brand of low-calorie, frozen microwavable food that estimates the following demand equation for its product using data from 26 supermarkets around the country for the month of April.
For a refresher on independent and dependent variables, please go to Sophia’s Website and review the Independent and Dependent Variables tutorial, located at http://www.sophia.org/tutorials/independent-and-dependent-variables--3.
Option 1
Note: The following is a regression equation. Standard errors are in parentheses for the demand for widgets.
QD = - 5200 - 42P + 20PX + 5.2I + 0.20A + 0.25M
(2.002) (17.5) (6.2) (2.5) (0.09) (0.21)
R2 = 0.55 n = 26 F = 4.88
Your supervisor has asked you to compute the elasticities for each independent variable. Assume the following values for the independent variables:
Q = Quantity demanded of 3-pack units
P (in cents) = Price of the product = 500 cents per 3-pack unit
PX (in cents) = Price of leading competitor’s product = 600 cents per 3-pack unit
I (in dollars) = Per capita income of the standard metropolitan statistical area
(SMSA) in which the supermarkets are located = $5,500
A (in dollars) = Monthly advertising expenditures = $10,000
M = Number of microwave ovens sold in the SMSA in which the
supermarkets are located = 5,000
Option 2
Note: The following is a regression equation. Standard errors are in parentheses for the demand for widgets.
QD = -2,000 - 100P + 15A + 25PX + 10I
(5,234) (2.29) (525) (1.75) (1.5)
R2 = 0.85 n = 120 F = 35.25
Your supervisor has asked you to compute the elasticities for each independent variable. Assume the following values for the independent variables:
Q = Quantity demanded of 3-pack units
P (in cents) = Price of the product = 200 cents per 3-pack unit
PX (in cents) = Price of leading competitor’s product = 300 cents per 3-pack unit
I (in dollars) = Per capita income of the standard metropolitan statistical area
(SMSA) in which the supermarkets are located = $5,000
A (in dollars) = Monthly advertising expenditures = $640
Write a four to six (4-6) page paper in which you:
1. Compute the elasticities for each independent variable.Note: Write down all of your calculations.
2. Determine the implications for each of the computed elasticities for the business in terms of short-term and long-term pricing strategies. Provide a rationale in which you cite your results.
3. Recommend whether you believe that this firm should or should not cut its price to increase its market share. Provide support for your recommendation.
4. Assume that all the factors affecting demand in this model remain the same, but that the price has changed. Further assume that the price changes are 100, 200, 300, 400, 500, 600 cents.
1. Plot the demand curve for the firm.
2. Plot the corresponding supply curve on the same graph using the following MC / supply function Q = -7909.89 + 79.1P with the same prices.
3. Determine the equilibrium price and quantity.
4. Outline the significant factors that could cause changes in supply and demand for the low-calorie, frozen microwavable food. Determine the primary manner in which both the short-term and the long-term changes in market conditions could impact the demand for, and the supply, of the product.
5. Indicate the crucial factors that could cause rightward shifts and leftward shifts of the demand and supply curves for thelow-calorie, frozen microwavable food.
6. Use at least three (3) quality academic resources in this assignment.Note: Wikipedia does not qualify as an academic resource.
Your assignment must follow these formatting requirements:
- Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
- Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
- Analyze how production and cost functions in the short run and long run affect the strategy of individual firms.
- Apply the concepts of supply and demand to determine the impact of changes in market conditions in the short run and long run, and the economic impact on a company’s operations.
- Use technology and information resources to research issues in managerial economics and globalization.
- Write clearly and concisely about managerial economics and globalization using proper writing mechanics.
ECO550 Week 6 Asignment 2 Latest 2017 August
Assignment 2: Operations Decision
Due Week 6 and worth 300 points
Using the regression results and the other computations from Assignment 1, determine the market structure in which the low-calorie frozen, microwavable food company operates.
Use the Internet to research two (2) of the leading competitors in the low-calorie frozen, microwavable food industry, and take note of their pricing strategies, profitability, and their relationships within the industry (worldwide).
Write a six to eight (6-8) page paper in which you:
1. Outline a plan that will assess the effectiveness of the market structure for the company’s operations.Note:In Assignment 1, the assumption was that the market structure [or selling environment] was perfectly competitive and that the equilibrium price was to be determined by setting QD equal to QS. You are now aware of recent changes in the selling environment that suggest an imperfectly competitive market where your firm now has substantial market power in setting its own “optimal” price.
2. Given that business operations have changed from the market structure specified in the original scenario in Assignment 1, determine two (2) likely factors that might have caused the change. Predict the primary manner in which this change would likely impact business operations in the new market environment.
3. Analyze the major short run and long cost functions for the low-calorie, frozen microwaveable food company given the cost functions below. Suggest substantive ways in which the low-calorie food company may use this information in order to make decisions in both the short-run and the long-run.
TC = 160,000,000 + 100Q + 0.0063212Q2
VC = 100Q + 0.0063212Q2
MC= 100 + 0.0126424Q
1. Determine the possible circumstances under which the company should discontinue operations. Suggest key actions that management should take in order to confront these circumstances. Provide a rationale for your response.(Hint: Your firm’s price must cover average variable costs in the short run and average total costs in the long run to continue operations.)
2. Suggest one (1) pricing policy that will enable your low-calorie, frozen microwavable food company to maximize profits. Provide a rationale for your suggestion.
(Hints:
- In Assignment 1, you determined your firm’s market demand equation. Now you need to find the inverse demand equation. Having found that, find the Total Revenue function for your firm (TR is P x Q). From your firm’s Total Revenue function, then find your Marginal Revenue (MR) function.
- Use the profit maximization rule MR = MC to determine your optimal price and optimal output level now that you have market power. Compare these values with the values you generated in Assignment 1. Determine whether your price higher is or lower.)
1. Outline a plan, based on the information provided in the scenario, which the company could use in order to evaluate its financial performance. Consider all the key drivers of performance, such as company profit or loss for both the short term and long term, and the fundamental manner in which each factor influences managerial decisions.
(Hints:
- Calculate profit in the short run by using the price and output levels you generated in part 5. Optional: You may want to compare this to what profit would have been in Assignment 1 using the cost function provided here.
- Calculate profit in the long run by using the output level you generated in part 5 and cost data in part 3 and assuming that the selling environment will likely be very competitive. Determine why this would be a valid assumption.)
1. Recommend two (2) actions that the company could take in order to improve its profitability and deliver more value to its stakeholders. Outline, in brief, a plan to implement your recommendations.
2. Use at least five (5) quality academic resources in this assignment.Note: Wikipedia does not qualify as an academic resource.
Your assignment must follow these formatting requirements:
- Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
- Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
- Analyze short-run and long-run production and cost functions.
- Apply macroeconomic concepts to changes in global and national economies and how they affect economic growth, inflation, interest rates, and wage rates.
- Evaluate the profit-maximizing price and output level for given operating costs for monopolies and firms in competitive industries.
- Use technology and information resources to research issues in managerial economics and globalization.
- Write clearly and concisely about managerial economics and globalization using proper writing mechanics.
ECO550 Week 9 Asignment 3 Latest 2017 August
Assignment 3: Long-Term Investment Decisions
Due Week 9 and worth 300 points
Assume that the low-calorie frozen, microwavable food company from Assignments 1 and 2 wants to expand and has to make some long-term capital budgeting decisions. The company is currently facing increases in the costs of major ingredients.
Use the Internet and Strayer databases to research government policies and regulation.
Write a six to eight (6-8) page paper in which you:
1. Outline a plan that managers in the low-calorie, frozen microwaveable food company could follow in anticipation of raising prices when selecting pricing strategies for making their products response to a change in price less elastic. Provide a rationale for your response.
2. Examine the major effects that government policies have on production and employment. Predict the potential effects that government policies could have on your company.
3. Determine whether or not government regulation to ensure fairness in the low-calorie, frozen microwavable food industry is needed. Cite the major reasons for government involvement in a market economy. Provide two (2) examples of government involvement in a similar market economy to support your response.
4. Examine the major complexities that would arise under expansion via capital projects. Propose key actions that the company could take in order to prevent or address these complexities.
5. Suggest the substantive manner in which the company could create a convergence between the interests of stockholders and managers. Indicate the most likely impact to profitability of such a convergence. Provide two (2) examples of instances that support your response.
6. Use at least five (5) quality academic resources in this assignment.Note: Wikipedia does not qualify as an academic resource.
Your assignment must follow these formatting requirements:
- Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
- Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
- Propose how differences in demand and elasticity lead managers to develop various pricing strategies.
- Analyze the economic impact of contracting, governance and organizational form within organizations.
- Use technology and information resources to research issues in managerial economics and globalization.
- Write clearly and concisely about managerial economics and globalization using proper writing mechanics.
ECO550 Week 5 Mid Term Part 1 Latest 2017 August
Question 1
4 out of 4 points
Which of the following will increase (V0), the shareholder wealth maximization model of the firm: V0?(shares outstanding) = ??t=1 (? t ) / (1+ke)t + Real Option Value.
Selected Answer:
Correct Decrease the required rate of return (ke).
Correct Answer:
Correct Decrease the required rate of return (ke).
Question 2
4 out of 4 points
The moral hazard in team production arises from
Question 3
4 out of 4 points
Economic profit is defined as the difference between revenue and ____.
Question 4
4 out of 4 points
The form of economics most relevant to managerial decision-making within the firm is:
Question 5
4 out of 4 points
Possible goals of Not-For-Profit (NFP) enterprises include all of the following EXCEPT:
Question 6
4 out of 4 points
Recently, the American Medical Association changed its recommendations on the frequency of pap-smear exams for women. The new frequency recommendation was designed to address the family histories of the patients. The optimal frequency should be where the marginal benefit of an additional pap-test:
Question 7
0 out of 4 points
The primary difference(s) between the standard deviation and the coefficient of variation as measures of risk are:
Question 8
4 out of 4 points
The standard deviation is appropriate to compare the risk between two investments only if
Question 9
4 out of 4 points
The approximate probability of a value occurring that is greater than one standard deviation from the mean is approximately (assuming a normal distribution)
Question 10
4 out of 4 points
An closest example of a risk-free security is
Question 11
4 out of 4 points
Based on risk-return tradeoffs observable in the financial marketplace, which of the following securities would you expect to offer higher expected returns than corporate bonds?
Question 12
4 out of 4 points
Generally, investors expect that projects with high expected net present values also will be projects with
Question 13
4 out of 4 points
An income elasticity (Ey) of 2.0 indicates that for a ____ increase in income, ____ will increase by ____.
Question 14
4 out of 4 points
Those goods having a calculated income elasticity that is negative are called:
Question 15
4 out of 4 points
Auto dealers slash prices at the end of the model year in response to deficient demand/excess inventory but restaurants facing the same problem slash production because
Question 16
4 out of 4 points
Suppose we estimate that the demand elasticity for fine leather jackets is .7 at their current prices. Then we know that:
Question 17
4 out of 4 points
Which of the following would tend to make demand INELASTIC?
Question 18
4 out of 4 points
A price elasticity (ED) of ?1.50 indicates that for a ____ increase in price, quantity demanded will ____ by ____.
Question 19
4 out of 4 points
The factor(s) which cause(s) a movement along the demand curve include(s):
Question 20
4 out of 4 points
In testing whether each individual independent variables (Xs) in a multiple regression equation is statistically significant in explaining the dependent variable (Y), one uses the:
Question 21
0 out of 4 points
When two or more "independent" variables are highly correlated, then we have:
Question 22
4 out of 4 points
When using a multiplicative power function (Y = a X1b1 X2b2 X3b3) to represent an economic relationship, estimates of the parameters (a, and the b's) using linear regression analysis can be obtained by first applying a ____ transformation to convert the function to a linear relationship.
Question 23
4 out of 4 points
The standard deviation of the error terms in an estimated regression equation is known as:
Question 24
4 out of 4 points
The estimated slope coefficient (b) of the regression equation (Ln Y = a + b Ln X) measures the ____ change in Y for a one ____ change in X.
Question 25
0 out of 4 points
In regression analysis, the existence of a high degree of intercorrelation among some or all of the explanatory variables in the regression equation constitutes:
ECO550 Week 5 Mid Term Part 2 Latest 2017 August
Question 1
4 out of 4 points
The forecasting technique which attempts to forecast short-run changes and makes use of economic indicators known as leading, coincident or lagging indicators is known as:
Question 2
4 out of 4 points
For studying demand relationships for a proposed new product that no one has ever used before, what would be the best method to use?
Question 3
4 out of 4 points
The type of economic indicator that can best be used for business forecasting is the:
Question 4
4 out of 4 points
Which of the following barometric indicators would be the most helpful for forecasting future sales for an industry?
Question 5
4 out of 4 points
Smoothing techniques are a form of ____ techniques which assume that there is an underlying pattern to be found in the historical values of a variable that is being forecast.
Question 6
4 out of 4 points
The variation in an economic time-series which is caused by major expansions or contractions usually of greater than a year in duration is known as:
Question 7
4 out of 4 points
If Ben Bernanke, Chair of the Federal Reserve Board, begins to tighten monetary policy by raising US interest rates next year, what is the likely impact on the value of the dollar?
Question 8
4 out of 4 points
Using demand and supply curves for the Japanese yen based on the $/¥ price for yen, an increase in US INFLATION RATES would
Question 9
4 out of 4 points
An increase in the exchange rate of the U.S. dollar relative to a trading partner can result from
Question 10
4 out of 4 points
The purchasing power parity hypothesis implies that an increase in inflation in one country relative to another will over a long period of time
Question 11
4 out of 4 points
If the British pound (?) appreciates by 10% against the dollar:
Question 12
4 out of 4 points
European Union labor costs exceed U.S. and British labor costs primarily because
Question 13
4 out of 4 points
An appreciation of the U.S. dollar has what impact on Harley-Davidson (HD), a U.S. manufacturer of motorcycles?
Question 14
4 out of 4 points
If the marginal product of labor is 100 and the price of labor is 10, while the marginal product of capital is 200 and the price of capital is $30, then what should the firm?
Question 15
4 out of 4 points
Marginal factor cost is defined as the amount that an additional unit of the variable input adds to ____.
Question 16
4 out of 4 points
Given a Cobb-Douglas production function estimate of Q = 1.19L.72K.18 for a given industry, this industry would have:
Question 17
0 out of 4 points
The isoquants for inputs that are perfect complements for one another consist of a series of:
Question 18
4 out of 4 points
In a production process, an excessive amount of the variable input relative to the fixed input is being used to produce the desired output. This statement is true for:
Question 19
4 out of 4 points
The marginal rate of technical substitution may be defined as all of the following except:
Question 20
4 out of 4 points
The cost function is:
Question 21
4 out of 4 points
Economies of Scope refers to situations where per unit costs are:
Question 22
4 out of 4 points
Economies of scale exist whenever long-run average costs:
Question 23
4 out of 4 points
What method of inventory valuation should be used for economic decision-making problems?
Question 24
4 out of 4 points
According to the theory of cost, specialization in the use of variable resources in the short-run results initially in:
Question 25
4 out of 4 points
The existence of diseconomies of scale (size) for the firm is hypothesized to result from:
ECO550 Final Part 1 Latest 2017 August all correct
Question 1
0 out of 4 points
Evidence from empirical studies of long-run cost-output relationships lends support to the:
Question 2
0 out of 4 points
The short-run cost function is:
Question 3
0 out of 4 points
Which of the following is not an assumption of the linear breakeven model:
Question 4
4 out of 4 points
A ____ total cost function implies that marginal costs ____ as output is increased.
Question 5
4 out of 4 points
Break-even analysis usually assumes all of the following except:
Question 6
4 out of 4 points
In the linear breakeven model, the breakeven sales volume (in dollars) can be found by multiplying the breakeven sales volume (in units) by:
Question 7
4 out of 4 points
The main difference between perfect competition and monopolistic competition is:
Question 8
4 out of 4 points
Experience goods are products or services
Question 9
4 out of 4 points
Uncertainty includes all of the following except ____.
Question 10
4 out of 4 points
Under asymmetric information,
Question 11
4 out of 4 points
A "search good" is:
Question 12
4 out of 4 points
If price exceeds average costs under pure competition, ____ firms will enter the industry, supply will ____, and price will be driven ____.
Question 13
4 out of 4 points
The price for used cars is well below the price of new cars of the same general quality. This is an example of:
Question 14
4 out of 4 points
The demand curve facing the firm in ____ is the same as the industry demand curve.
Question 15
4 out of 4 points
Declining cost industries
Question 16
4 out of 4 points
In natural monopoly, AC continuously declines due to economies in distribution or in production, which tends to found in industries which face increasing returns to scale. If price were set equal to marginal cost, then:
Question 17
4 out of 4 points
The practice by telephone companies of charging lower long-distance rates at night than during the day is an example of:
Question 18
4 out of 4 points
In the electric power industry, residential customers have relatively ____ demand for electricity compared with large industrial users. But contrary to price discrimination, large industrial users generally are charged ____ rates.
Question 19
4 out of 4 points
____ as practiced by public utilities is designed to encourage greater usage and therefore spread the fixed costs of the utility's plant over a larger number of units of output.
Question 20
4 out of 4 points
“Conscious parallelism of action” among oligopolistic firms is an example of ____.
Selected Answer:
Question 21
4 out of 4 points
Barometric price leadership exists when
Question 22
4 out of 4 points
If a cartel seeks to maximize profits, the market share (or quota) for each firm should be set at a level such that the ____ of all firms is identical.
Question 23
4 out of 4 points
A(n) ____ is characterized by a relatively small number of firms producing a product.
Question 24
4 out of 4 points
In a kinked demand market, whenever one firm decides to lower its price,
Question 25
4 out of 4 points
In the Cournot duopoly model, each of the two firms, in determining its profit-maximizing price-output level, assumes that the other firm's ____ will not change.
ECO550 Final Part2 Latest 2017 August all correct
Question 1
4 out of 4 points
Consider the game known as the Prisoner's Dilemma. What's the dilemma?
Question 2
4 out of 4 points
Cooperation in repeated prisoner's dilemma situations seems to be enhanced by all of the following except
Question 3
4 out of 4 points
Credibility in threats and commitments in sequential games is based on
Question 4
4 out of 4 points
When there is no Equilibrium (or no Nash Equilibrium), we expect that:
Question 5
4 out of 4 points
Credible promises and hostage mechanisms can support a continuous stream of cooperative exchanges except when
Question 6
4 out of 4 points
Which of the following pricing policies best identifies when a product should be expanded, maintained, or discontinued?
Question 7
4 out of 4 points
Third-degree price discrimination exists whenever:
Question 8
4 out of 4 points
Firms that have a cover charge for their customers and charge for each item they purchase as well are exhibiting
Question 9
4 out of 4 points
The segmenting of customers into several small groups such as household, institutional, commercial, and industrial users, and establishing a different rate schedule for each group is known as:
Question 10
4 out of 4 points
____ is the price at which an intermediate good or service is transferred from the selling to the buying division within the same firm.
Question 11
4 out of 4 points
When someone contracts to do a task but fails to put full effort into the performance of an agreement, yet the lack of effort is not independently verifiable, this lack of effort constitutes a
Question 12
4 out of 4 points
Governance mechanisms are designed
Question 13
4 out of 4 points
Which of the following is not among the functions of contract?
Question 14
4 out of 4 points
When retail bicycle dealers advertise and perform warranty repairs but do not deliver the personal selling message that Schwinn has designed as part of the marketing plan but cannot observe at less than prohibitive cost, the manufacturer has encountered a problem of ____.
Question 15
4 out of 4 points
When borrowers who do not intend to repay are able to hide their bad credit histories, a lender's well-intentioned borrowers should
Question 16
4 out of 4 points
The ____ is equal to the some of the squares of the market shares of all the firms in an industry.
Question 17
4 out of 4 points
The antitrust laws regulate all of the following business decisions except ____.
Question 18
4 out of 4 points
The lower the barriers to entry and exit, the more nearly a market structure fits the ____ market model.
Question 19
4 out of 4 points
The sentiment for increased deregulation in the late 1970's and early 1980's has been felt most significantly in the price regulation of
Question 20
4 out of 4 points
____ occurs whenever a third party receives or bears costs arising from an economic transaction in which the individual (or group) is not a direct participant.
Question 21
4 out of 4 points
If the acceptance of Project A makes it impossible to accept Project B, these projects are:
Question 22
4 out of 4 points
The social rate of discount is best approximated by:
Question 23
4 out of 4 points
Which of the following items is (are) not considered as part of the net investment calculation?
Question 24
4 out of 4 points
All of the following except ____ are shortcomings of cost-benefit analysis.
Question 25
4 out of 4 points
In cost-effectiveness analysis, constant cost studies:
