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PSYCHO15rus [73]
3 years ago
10

How do oligopolies influence market inefficiencies?

Business
1 answer:
xz_007 [3.2K]3 years ago
4 0
Oligopolies are inefficient as they do not produce the highest overall utility for the society. Since the market of sellers is few they limit the number of products being sold/made in order to limit their cost but increase their profit per unit. This results in the firm's producing the goods to gain more of the utility generated by the market and the consumers receive something much less. The loss of the consumers then out weighs the gain of the producers hence the total utility of the system is lower. 
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The __________ is an integrated set of actions taken to produce goods or services (at an acceptable cost) that customers perceiv
PIT_PIT [208]

Answer:

Differentiation strategy

Explanation:

This question defines the differentiation strategy. It is an approach which businesses develop whereby they provide their customers with unique and different goods and services than what other competing firms may have to offer in the market. The main goal is to have an advantage increase in the market compared to others.

7 0
2 years ago
true or false, Even with interest-rate a bank pays on your account the real rate of return on that negative because of inflation
Ugo [173]

This may be true or false depending on the situation.

Explanation:

If countering in the inflation, banks were giving negative values all the time to their consumers they would not survive in the game.

But this is not to say this is not a practice that has been done to the unsuspecting people who have wanted to invest money.

They are being given policies and rates that after countering inflation are actually in loss for them as they do not grow as much as the money would have devalued by then.

This is however quite rare and is a malpractice.

4 0
2 years ago
Read 2 more answers
The phase of a business cycle after a recession in which consumer confidence is shaken and consumers reduce spending is called
Strike441 [17]

Answer:

Depression

Explanation:

A business cycle is defined as the period that occurs between a boom and a contraction in an economy. A boom is rapid economic growth while a contraction is a period of slow economic growth.

There are 6 stages of business cycle: expansion, peak, recession, depression, trough, and recovery.

A recession is the early stage of a contraction in which demand for products start to decline and prices fall.

After a recession is depression. In this stage economic growth declines further, unemployment increases, consumer confidence is shaken and consumers reduce spending

5 0
3 years ago
Ancient egyptian clothing is comprised almost completely out of one variety of fiber/textile. which one?
prisoha [69]

Ancient Egyptian clothing is comprised almost completely out of one variety of <u>textile</u>

  • Ancient Egyptians used linen-based clothes. Fabrics that are light and cool, like linen, are useful in hot climates like Egypt's. The flax plant's fibres were used by the Egyptians to make linen. The fibres were spun by workers into thread, which was subsequently weaved on looms into linen cloth.
<h3><u>What did Egyptians use as textiles?</u></h3>
  • Although wool was occasionally used in Egyptian textiles throughout the Dynastic Era (3100 BCE–300 BCE), linen predominated. (Silk and cotton were only added later.) Three primary categories of linen were produced: smooth cloth, thin cloth, and royal or fine linen.

To Learn more about Ancient Egyptian , Click the links

brainly.com/question/19818729

#SPJ4

3 0
10 months ago
ou are attempting to value a call option with an exercise price of $109 and one year to expiration. The underlying stock pays no
kompoz [17]

Answer:

$14.73

Explanation:

Given that, there is a 50 - 50 chance that a call option will either increase or decrease ;

Exercise price = $109

Increase price = $142

Decrease price = $76

Using the two state stock price model :

Increase price - exercise price ; 142 - 109 = $33

Decrease price - exercise price ; 76 - 109 - $33

We calculate the mean, expected value of winning after one year,

E(X) = Σx*p(x)

Since call won't be exercised if price decrease, then - 33 = 0

x : ___ 33 _____ 0

p(x) : _ 0.5 ____ 0.5

E(X) = (33*0.5) + (0*0.5)

E(X) = 16.5

The present value, PV = Expected winning / (1 + r)

PV = 16.5 / (1 + 0.12) = 16.5 / 1.12 = 14.73

8 0
2 years ago
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