This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Refer to Figure 5-6. Why is there a deadweight loss? A) because the marginal private cost for ... (Read 80 times)

c0205847

  • Hero Member
  • *****
  • Posts: 531
on: Jun 29, 2018
Refer to Figure 5-6. Why is there a deadweight loss?
 
  A) because the marginal private cost for each additional unit between Q1 and Q2 exceeds the marginal private benefit
  B) because the marginal private benefit for each additional unit between Q1 and Q2 exceeds the marginal cost
  C) because the marginal social cost for each additional unit between Q1 and Q2 exceeds the marginal social benefit
  D) because the marginal social benefit for each additional unit between Q1 and Q2 exceeds the marginal cost

Question 2

Suppose that Firm ABC currently has a market share of 8 percent. Firm XYZ has a market share of 12 percent. What will happen to the Herfindahl-Hirschman index if the two firms merge? Show your work.
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

aprice35067

  • Sr. Member
  • ****
  • Posts: 337
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

The index will rise by (202) - (82) - (122) = 400 - 64 - 144 = 192 points.


c0205847

  • Member
  • Posts: 531
Reply 2 on: Jun 29, 2018
Excellent

lindahyatt42

  • Member
  • Posts: 322
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

Did you know?

Every flu season is different, and even healthy people can get extremely sick from the flu, as well as spread it to others. The flu season can begin as early as October and last as late as May. Every person over six months of age should get an annual flu vaccine. The vaccine cannot cause you to get influenza, but in some seasons, may not be completely able to prevent you from acquiring influenza due to changes in causative viruses. The viruses in the flu shot are killed—there is no way they can give you the flu. Minor side effects include soreness, redness, or swelling where the shot was given. It is possible to develop a slight fever, and body aches, but these are simply signs that the body is responding to the vaccine and making itself ready to fight off the influenza virus should you come in contact with it.

Did you know?

About one in five American adults and teenagers have had a genital herpes infection—and most of them don't know it. People with genital herpes have at least twice the risk of becoming infected with HIV if exposed to it than those people who do not have genital herpes.

Did you know?

The average adult has about 21 square feet of skin.

Did you know?

As many as 28% of hospitalized patients requiring mechanical ventilators to help them breathe (for more than 48 hours) will develop ventilator-associated pneumonia. Current therapy involves intravenous antibiotics, but new antibiotics that can be inhaled (and more directly treat the infection) are being developed.

(A) The nine regions of the abdominopelvic cavity. (B) The four regions of the abdomen, which are re (A) The nine regions of the abdominopelvic cavity. (B) The four regions of the abdomen, which are re
Demonstrate the Application of Triangular, Figure-Eight, and Tubular Bandages Demonstrate the Application of Triangular, Figure-Eight, and Tubular Bandages
Mobilize knuckles with figure-8s. Turn the hand so palm faces the table. Grasp the proximal phalange ... Mobilize knuckles with figure-8s. Turn the hand so palm faces the table. Grasp the proximal phalange ...
How to calculate the gain and loss gene numbers with low bootstrap of phylogenetic tree? How to calculate the gain and loss gene numbers with low bootstrap of phylogenetic tree?
If the frequency equals 60 Hz in Figure 10-1, what is the value of capacitance? If the frequency equals 60 Hz in Figure 10-1, what is the value of capacitance?
How much voltage does the resistor drop in Figure 10-2? How much voltage does the resistor drop in Figure 10-2?
Video: Predator- prey competition and symbiosis

For a complete list of videos, visit our video library