Answer:
Some of the oligopoly effects are discussed as follows:
i. Restriction on output:
Implies that oligopoly results in small output and high prices as compared to other market structures, such as perfect competition.
ii. Price exceeds average costs:Implies that under oligopoly, there are restrictions on entry of new organizations. Thus, organizations charge prices more than the average costs. Therefore, consumers have to pay more in case of oligopoly market.
iii. Lower Efficiency:
Leads to non-optimum levels of output. This is because the output produced under oligopoly depends on the market share held by the organization. Thus, the oligopoly organizations fail to build the optimum scales of economies and achieve optimum output.
iv. Selling Costs:
Refer to high promotional costs. The oligopolists engage in high promotion tasks to take the share of its rivals. Thus, the resources are wasted in form of high selling costs which do not add to the satisfaction of customers.
Apart from aforementioned points, oligopoly shows the poor performance from various other angles. From the point of economic welfare, it fails to satisfy customers since the price charged is very high, even more than average costs. In addition, sometimes oligopolists may face wasteful fluctuations in output as the output is not determined optimally.
HOPE IT HELPS.
Answer: Decide if you really want to offer financial services to your clients I think so
Explanation:
Answer:
b. If Stock A's required return is 11%, then the market risk premium is 5%
Explanation:
Let's analyze each choice with the CAPM formula; r= risk free+beta(mrkt return - risk free)
a.)
Assume market return is 8%
rA= 6% +1 (8% - 6%)= 8%
rB= 6% +2 (8% - 6%)= 10%
Since stock B's return is not twice that of stock A, choice a.) statement is WRONG.
b.)
Formula ; r= risk free+beta(mrkt return - risk free)
Find MRP if rA=11% knowing that MRP = (mrkt rate - risk free)
11% = 6% +1 (11% - 6%)
Therefore MRP= 11%-6% = 5% making choice b. CORRECT
The correct option is A) Contrast effect.
<h3>What is perceptual error?</h3>
Perceptual error is the inability to judge humans, things or situations fairly and accurately.
Contrast effect is an unconscious bias that happens when two things are judged in comparison to one another, rather than assessed it individually.
Perception of the people is altered once we start to compare things to one another.
James is a wells Fargo employee. his manager saw him parking illegally in a loading zone once so he assumes James must have engaged in a fraudulent account activity, which of the following perceptual errors did his manager make?
A) Contrast effect
B) Recency effect
C) Halo effect
D) Central tendency
E) Leniency
Learn more about the perceptual error here:-
brainly.com/question/14605227
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Answer: After studying about ethics and social responsibility, the following statements applies that <u><em>Google and Apple are showing corporate social responsibility because they demonstrate concern for their investors, which is exactly where their focus should be.</em></u>
i.e. Corporate social responsibility is vital, self-regulating model that further eases and helps an organization be socially responsible to itself, its stakeholders, and the public.
