Identify the type of barrier to entry. (Natural barriers to entry, Ownership barrier to entry, Legal barrier to entry) a) DeBeers Diamond company in the 1980s and 1990s b) Electricity provider in a city c) Pharmaceutical drug

Identify the type of barrier to entry. (Natural barriers to entry, Ownership barrier to entry, Legal barrier to entry) a) DeBeers Diamond company in the 1980s and 1990s b) Electricity provider in a city c) Pharmaceutical drug

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Image uploaded answer is not allowed keep in mind

A: Given: Pb = 112-QbMC = 25 If the monopoly was broken into a competitive industry, then the market…

Q: A monopoly is a unique market structure. Which of the following characteristics are necessary for a…

A: Monopoly: - monopoly market structure is the structure in which there is only one seller of any good…

Q: Refer to the graph above for a pure monopolist: The total profit (loss) for this monopolist is: O…

A: Under a monopoly market structure, the monopolist price his goods in order to maximize his profit,…

Q: Price/cost MC $52 ATC $40 $30 $28 $20 D $14 MR 100 130 140 160 This monopolist will sell units of…

A: The equilibrium is established where the MR = MC. Output : 130 Price : 40.

Q: What is the primary objective of antitrust laws in the United States? A. Promoting mergers and…

A: Antitrust laws in the US are a major part of financial guidelines and strategy, assuming a…

Q: Vertical relationships can increase profits through a. preventing firms from evading…

A: Vertical relationships:Vertical relationships are the integration between the different members of…

Q: Suppose that the demand is given by P(Q) = 4 - Q and that the total cost is C = 2Q. a) Find the…

A: Deadweight loss refers to loss to society due to inefficient quantity produced. Under perfect…

Q: A monopoly can be recognized by certain characteristics that set it aside from the other market…

A: A monopoly is when one business holds a dominant position in an industry or area to the point where…

Q: What are at least 2 entry barriers set up by governmental institutions that protect a company like…

A: Entry barriers, also known as barriers to entry, are obstacles or conditions that make it difficult…

Q: Which of the following is NOT one of the economic problems of Monopoly? Select one: a. Monopolies…

A: A monopoly is classified as a market failure because the market is meant to be maximising welfare…

Q: Question 1 is reprinted for your convenience. 1. Kohelis Mining is a monopoly and is currently…

A: Monopoly refers to a market structure that is characterised by the single seller, large buyers,…

Q: 18 Select whether the statement is true or false. A monopoly often has little incentive to improve…

A: The monopoly is the market with sole supplier, selling a unique good or good or service with no…

Q: Determine the delictual liability?

A: Delictual liability is concerned with damages suffered by a person resulting from a wrongful act, or…

Q: Monopoly Product: Daktronics Scoreboar For the given graph: • Shade the area for TR* on graph.…

A: Below is the curve showing the TR area in green colour.

Q: Suppose that BYOB charges $2.00 per can. Your friend Alex says that since BYOB is a monopoly with…

A: Price=$2.00 per can

Q: Refer to Table 13.1. If a monopoly faces the demand schedule given in the table, what is its…

A: Monopoly:Monopoly is a marketplace where there's one dealer and lots of customers. Seller sells the…

Q: C. easy exit

A: Explanation: Competition is sweet for the Associate in Nursing economy because it ensures resources…

Q: Are monopolies economically efficient? Consider the market to the right. Compared to the perfectly…

A: In perfect competition there are many firms producing identical goods, and in monopoly there is only…

Q: 4. The ratio between price and marginal cost p/MC is largest when demand is very elastic at the…

A: The objective of the question is to determine whether the statement is true or false: 'The ratio…

Q: 7) Suppose a monopolist facing a linear demand curve has marginal cost MC and charges monopoly…

A: A market structure known as a monopoly involves a single seller who has extensive market power.…

Q: monopoly is bad for society because: a. it increase profit for one b. it increases loss for all…

A: In monopolistic market there exists a single firm selling a good with no substitutes.

Q: 4. The ratio between price and marginal cost p/MC is largest when demand is very elastic at the…

A: The objective of the question is to determine whether the statement is true or false. The statement…

Q: A monopoly is considering selling several units of a homogeneous product as a single package.…

A: Monopoly is the single in the market producing unique good.

Q: Antitrust laws are designed to maintain a competitive market environment by a. eliminating…

A: Answer

Q: Using the accompanying figure for a monopoly firm, answer the following questions. If this industry…

A: In a monopoly market structure, There exists a single seller. There exists high barriers to entry…

Q: tent for No Smak. A potential new drug, NoSmak, cures lip smacking with one dose, but research and…

A: Patent Protection:In the United States, there is the law to protect the intellectual property of…

Q: help please answer in text form with proper workings and explanation for each and every part and…

A: Option a) marginal revenue and marginal benefit: This option is incorrect because marginal benefit…

Q: All of the following can break a monopoly EXCEPT a. increased barriers to entry b. technology and…

A: Monopoly is a market structure in which there us one single seller in the whole market.

Q: Price $95 and cost per unit 70 59 35 20 580 835 MR 1740 2204 ATC MC D Quantity 12) Refer to Figure 6…

A: DISCLAIMER Since your question has multiple sub-parts, we will solve the first three sub-parts for…

Q: 2. Classify the following as a government- enforced barrier to entry, a barrier to entry that is not…

A: Barriers to entry refer to a fixed cost that must be borne by a new entrant, disregarding the…

Q: What is the DWL from the monopoly depicted below? 40 36 32 28 24 16 12 8 222220 4 Demand 250 500 750…

A: Question: Deadweight loss (DWL) is the loss of economic efficiency that occurs when a market is not…

Q: 2. A monopoly has only three consumers whose preferences are indicated in the following Maximum…

A: Monopoly markets offer unique opportunities and challenges for pricing strategies. Since monopolies…

Q: GRAPH Show Deadweight Loss off Show Economic Profit/Loss ($) Price, Average/Marginal Cost Regular…

A: When cost structure is moved from low to high, All the cost curves shift upIn a monopoly market…

Q: Considera (non-price discriminating) monopolist that faces a demand function of D: P100-Q and has a…

A: Under the monopoly, the firm maximizes it profit when the marginal revenue is equal to the marginal…

Q: Economic regulation occurs when a. monopoly is the optimal market structure. b. the industry is…

A: ***Since the student has posted multiple questions, the expert is required to solve only the first…

Q: The Zen Hotel has a local monopoly because of a historic license to operate inside Blue Rock State…

Q: Monopoly always charge higher prices for goods which are often of dubious quality Benefit and…

A: A monopoly is a market with only one supplier but a large number of customers. In a completely…

Q: What is meant by a regulatory taking?

A: We know that when a policy is implemented or when regulation is proposed and due to a similar…

Q: Draw a demand, marginal revenue and marginal cost curve for a monopoly firm. Be sure to label axes…

A: Monopoly usually refers to a market situation in which there is only a single seller/firm that deals…

Q: XYZ company uses a technology for producing its good. This enables the firm to meet the entire…

A: A monopoly is the sole producer of the good in the market, thus having the maximum market power.…

Q: help please answer in text form with proper workings and explanation for each and every part and…

A: The monopoly in order to maximize the profit or minimize the loss produce at the quantity where it's…

Q: 19. A monopoly is a market in which there is only one seller. This situation hurts consumers…

A: A monopoly market is a market structure in which there is only one dominant firm that controls the…

Q: Which of the following are characteristics of a monopoly A. Set their own price B. Many buyers and…

A: The question is asking to identify the characteristics of a monopoly from the given options.

Q: None

A: Resource MonopolyThe monopoly of resources, in which a company owns control over a vital resource…

Q: 1. Which of the following is considered over regulated. Environmental Regulations the Banking System…

A: The most regulated is banking system

Q: Monopoly profits do NOT serve any “socially useful" purpose because: Select one: a. Each of these is…

A: A monopoly is classified as a market failure because the market is meant to be maximising welfare…

Q: How Monopolies Form Identify an invention and explain how a patent would give a monopoly a.…

A: The government can grant a company exclusive rights to provide goods or services, which is the…

Question

Identify the type of barrier to entry. (Natural barriers to entry, Ownership barrier to entry, Legal barrier to entry)

a) DeBeers Diamond company in the 1980s and 1990s

b) Electricity provider in a city

c) Pharmaceutical drug

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

PRICE (Dollars per gigabyte of data) 20 18 16 14 0 0 2 MR 5 QUANTITY (Gigabytes of data) 6 O True False 8 ATC MC 9 10 D + Which of the following statements are true about this natural monopoly? Check all that apply. Monopoly Outcome It is more efficient on the cost side for one producer to exist in this market rather than a large number of producers. The 5G LTE company is experiencing diseconomies of scale. The 5G LTE company is experiencing economies of scale. In order for a monopoly to exist in this case, the government must have intervened and created it. True or False: Without government regulation, natural monopolies never earn zero profit in the long run.
The graph shown represents the cost and revenue curves faced by a monopoly 18 876543N-OOO7SSAMNI 17 16 15 14 S 13 12 11 10 9 2 1 MC ATC X MR %70%85% -% 90 A. II only B. I and III C. I only D. II and III only 100 110 Which of the following statements is true? . The monopolist's profit maximizing price is $12. 2. The monopolist's profit maximizing quantity is 100. . The monopolist will earn zero profits. 120 130 140 150 160 170 D Quantity
Q (units) 0 1 2 NMT 3 4 5 P ($) 50 45 40 35 30 25 TC ($) 10 $105 none of the above 26 42 58 74 90 If the monopolist maximizes profit, then profit will be O($44) O $47
The best measure of the social burden of a monopoly is captured by its a. variable cost b. deadweight loss c. economic profit d. fixed cost No plagiarism
(a) State the main features of monopoly and name any one organization which operates under monopoly. (b) Briefly explain the ‘monopolist’s equilibrium’ in short-run with the help of a schedule. (c) Determine the equilibrium of firm under monopolistic competition in long run
QUESTION 30 50 45 40 35 30 25 20 15 10 5 5 a monopoly firm 10 . 15 MR 20 25 MC 30. If this firm maximizes short-term profit, what is the maximum total profit it can earn? a) $126 b) $27 c) $378 d) $9 e) $140 30 ATC DALLA D AVC 35
A firm typically achieves its position as a monopolist as a result of _. (a) the absence of long-run profits in an industry (b) a small market and a constant average cost (c) barriers to entry (d) a downward sloping demand for the product. Provide reasons for incorrect as well.
Can anyone please help!
1. When a monopoly advertises, the goal is to _____ because _____. Group of answer choices increase its demand as a share of market demand; the monopoly faces a significant portion of market demand increase market demand; the monopoly faces the entire market demand increase market demand; the monopoly produces a product that is identical to the output of all other sellers in the market increase its demand as a share of market demand; the monopoly faces a small portion of market demand 2. If given a choice, a person would prefer to experience the situation of which of the following families? Group of answer choices a family with income equal to the world poverty line a family with income equal to the United States poverty line a family with income double the world poverty line a family with income equal to the poverty line in the United States in 1970 3. A business using its bargaining power as a major buyer of labor to pay lower prices, including lower wages,…
(J) Pure monopolies are said to be allocatively inefficient because price is equal to marginal cost. price is greater than marginal cost. price is less than marginal cost. they produce whereMR>MC
i A monopoly can be identified by a few traits that distinguish it from other market systems. Identify the reasons a monopoly firm sets prices in microeconomics. ii. Monopolistic opponents said that the monopoly power would have a negative social impact. Tell us why. iii Describe THREE (3) qualities or conditions of the perfectly Competitive market structure. A perfectly competitive market has the opposite characteristics or conditions from a monopolistic market.
(13) A monopolist is a price- Select one: a. taker. b. maker. c. blocker. (14) A trademark is an example of a legal monopoly. It means ________. Select one: a. protection for the life of the author plus 70 years b. an identifying symbol or name c. an exclusive legal right to make, use, or sell the invention for a limited time