Answer: Option (a) is correct.
Explanation:
Figure attached with this answer shows the two curves, namely, average product curve and marginal product curve.
Marginal product refers to the change in the total output divided by the change in the quantity of inputs used.
Average product is calculated by dividing the total output produced with the quantity of inputs or factors of production used.
The relationship between marginal product and average product is explained by three phases:
(1) Average product is rising,
Marginal product is greater than the average product.
(2) Average product is maximum,
Marginal product is equal to average product.
(3) Average product is falling because of diminishing marginal utility,
Marginal product is less than the average product.
Answer:
perfectly price discriminating.
Explanation:
here are the options to this question :
not maximizing its profit.
imperfectly price discriminating.
not price discriminating.
perfectly price discriminating.
perfect price discrimination also known as first-degree discrimination is when a seller sells his product at the maximum possible price for each unit consumed. Due to the price variance, the seller captures all available consumer surplus.
A monopoly is when there is only one firm operating in an industry.
3. For a perfectly competitive market to function properly, buyers and sellers must have access to adequate information. Adequate information is such information that the purchaser considers important for him. So the purchaser, company or investors should have an opportunity to get the information how it is.
4. Natural monopoly can be explained like the situation where one company can supply market's entire with some unique raw materials or technology. So there can't be more than one company which provides this material or technology. According to this, I think the answer is diamonds.
5. As far as I remember, oligopoly is a market that has a few firms dominating the market. That means there is a small competition as there are small number of buyers and sellers.
6. If my memory serves me well, economies of scale happen <span>when a firms' long run average costs decrease with output. So if there is no economies of scale, I'm pretty sure that costs go up.
7. I think that correct definition looks like this: Combination of two or more companies in a single firm is called a merger. Resources of both companies are pooled together, and the owners of each company remain owners. There are to types of merger entities:
-Horizontal integration - if the merged companies are competitors.
- Vertical integration - if the companies are supplier and customer.
8. I am definitely sure that the answer is: </span>Offering products of different tastes and shapes is an example of non-price competition. That means that the competing companies wouldn't challenge by lowering the prices. Every competitor will focus on highlighting benefits of their product, to show that their product is better than another one.
9. The controller of a monopoly sets the price of goods by charging the price at which the profit is maximized. Monopoly is a firm which has no competition, so they doesn't have to worry about losing their customers. Company can set monopoly price which is pretty much higher than products marginal cost. That allows company to have maximum profit.
10. Many critics argue that government efforts to regulate industries have caused inefficiencies. Inefficiency means that the company can't achieve enough productivity. This caused because of high taxes, bureaucracy and other factors.
11. This agreement is called price-fixing. Companies which have come to this conspiracy can't sell goods below fixed price. There are many way to fix price by setting the price high or low. That leaves customer no choice and makes him to buy product at the fixed price.
12. D<span>eregulating industries is not a method that the government uses to intervene and prevent firms from controlling the price and supply of important goods. Deregulation of industry means that government power in a particular industry is reduced. Deregulation removes barriers to competition.
13. I think, I'd go with this: </span><span>Price Fixing, Collusion, And Cartels. Oligopolies can arrange those three together and that lets them to charge prices like monopoly. Government stays sharp with oligopolies using this method.
14. I think it's obviously a start-up costs. Every business need money to set it up. But all of them are different and require different types of costs. So it would be appropriate to create a business plan that helps to consider different start-up costs for your business.
15. I'm 100% sure, that the answer is: C</span><span>ompared to a market with perfect competition, a monopoly often has higher prices and fewer goods. Monopoly usually provides unique raw materials and technologies. As I've mentioned before, monopoly has no competition and it lets company to charge high prices for their goods.
16. I think that the </span><span>lack of technological know-how can't prevent the company being competitive as there's not the most important factor in a particular business.
17. As far as I remember, efficiency is one of the main characteristics of competitive market, which could be achieved with minimum government intervention.
18. According to what I've mentioned above about oligopoly, correct answer should be: E</span>conomists usually call an industry an oligopoly if the four largest firms produce at least 70–80 percent of the output.
19. As I've mentioned it in question 6. total cost curve with economies of scale will decrease on the increasing output. But it refers to firms long run average total cost.
20. I'm definitely sure that the answer is: <span>It has reduced start-up costs for many businesses. Because with the Internet, there's no necessary to set up brick and mortar business. You can just build your business online by making a website. This is a huge economy.</span>
Answer:
socialist economy
Explanation:
A planned economy is a system where the government or the central authority makes all major economic decisions. The government decides on the type and quantities of goods to produce and for whom to produce. In the planned economy, factors of production belong to the government. Manufacture of goods and services is motivated by service to the community, not profits.
A socialist economy is a good example of a planned economy. Just like in a planned economy, a socialist economy is characterized by heavy government involvement. The state controls the factors of production. Public service is the reason for economic production, while consumers do not have the liberty to choose products.
Answer: difficult and not as clear-cut as U.S. firms would like them to be
Explanation:
The issues associated with social responsibility and ethical problems doesn't pertain to a particular income level or economic system.
Even though businesses in the United States always demand socially responsible behavior and good ethics from their international suppliers, the issues of social responsibility and ethical behavior are still difficult and not as clear-cut as they want them to be.
This is really a bothering issue as.it has even been suggested in the past whether the international suppliers should be made to adhere to the laws I the United States.
