Answer:
The correct answer is A
Explanation:
Monopoly is the market structure in which there is a single seller of the product and service. And the seller enjoys the freedom and does not have any competition in the market.
So, this is the case of a monopoly market structure as there is only single seller in the state. And the government regulate the monopolies so that could protect the interest of customers and adopt the policies such as merger regulations, competition in market and breaking down the monopoly.
Therefore, the government could control the prices by price capping, in which the government set the limit on the prices of the service. And in the case of monopolies have the power set the prices above the equilibrium level. Hence, it is required to regulate the price.
Answer: The same as the industry's demand curve
Explanation:
The demand curve faced by a non discriminating pure monopoly is same as the industry demand curve as, the monopoly facing the demand curve of the industry in the form of the downward sloping demand curve so that the monopolist increased its output demand. A non discriminating monopolist determined the demand curved and ultimately determined the price which are willing for pay.
Answer:
$2,319,000
Explanation:
Amount
March1 $1,884,000
June 1 $1,284,000
Dec 31 $3,082,450
Capitalization period
March1
10/12×$1,884,000 =$1,570,000
June 1
7/12 $1,284,000=$749,000
Dec 31
0
Weighted Average Accumulated expenditure
March 1 $1,570,000
June1 $749,000
Dec 31 $0
Total $2,319,000
Answer:
4400
Increase
c. An index of 10,000 corresponds to a monopoly firm with 100% market share
Explanation:
Here are the options to the last question
Why is the largest possible value of the Herfindahl index 10,000 ?
a. An index of 10,000 corresponds to 100 firms with a 1% market share each
b. An industry with an index higher than 10,000 is automatically regulated by the Justice Department
c. An index of 10,000 corresponds to a monopoly firm with 100% market share
HHI index = 60² + 20² + 20² = 4400
If one of the firms leaves the industry, the market share would be distributed between the two firms and this would cause the HHI index to increase as firm's concentration would increase
If only one firm operates in the industry, its market share would be 100% and its HHI index would be 100² = 10,000. For an industry to exist there has to be at least one firm operating in the industry,
Answer: $3,580.30 (converted to 2decimal places).
Antwone need to deposit " $3,580.30008” into the account each semi-annual period in order to take his vacation in 2 years
Explanation:
By using compound interest formula below to solve the question
A = p ( 1 + r/n)^nt
A = amount (future value)= $3,800
P = principal (present value) ?
r = annual nominal rate = 3%= 0.03
n = today number of compounding years = semiannually (2 interest payments period in a year) = 2
t = time in years =2
3,800 = p ( 1 + 0.03/2)^2(2)
3,800 = p ( 1 + 0.015 )^4
3,800 = p ( 1.015 ) ^4
3,800 = 1.06136355 p
divide both sides by 1.06136355
p = 3,800 / 1.06136355
p = $3,580.30008
≈$3,580.30 ( rounded off to 2d.p)
