Technological improvements are more likely to occur if the economy is centrally planned. entrepreneurs are compensated for taking risks with higher profits. economic decisions are made by politicians rather than entrepreneurs. companies face little competition in their markets.

The Netherlands abolished its patent system in 1869. What did subsequent innovation in the Netherlands teach us about patents? Since more low-income households started inventing, patents must be an exclusive institution Since fewer women were inventing, patents are an inclusive institution Patents aren't necessary for innovation, but they can affect the types of innovation we get. Without patents, societies become stagnant

Name-Brand Prescription Drugs Market—“Happy Pill”—that greatly improves life but is not essential to life. Using supply and demand analysis, explain what happens to the market price and quantity of a name-brand prescription drug Happy Pill if its patent expires. Using supply and demand analysis explain why Happy Pill might be advertised. Using supply and demand analysis, explain what would happen to the price and quantity of Happy Pills if there was a severe recession, and people lost their jobs, which included a health-care benefit that payed for prescription drugs.

Studying people in their daily lives to learn about their needs, wants, and behaviors in real-life settings is called ________. A) neuromarketing studies B) ethnographic research C) experiments D) focus groups E) process data collection

the presence of competition in free markets and why A)is undesirable because it results in unnecessary duplication of efforts b)usually result in better quality and lower prices c) is rare since most markets eventually evolve into monopolies d). is undesirable because one big firm can usually produce goods more efficiently than a large number of small firms

Macmillan Learning Please match the five forces that shape competition and profitability with each description. Firms must buy the inputs for a good. Others are attracted by potential economic profit. Dividing market share can cause pressure on price. Other goods could be used in place of this good. Can customers influence the price they pay for the good? Answer Bank threat from potential entrants competition from existing firms bargaining power of buyers competition from substitute goods bargaining power of suppliers

Fill in the table by the main characteristics of the competitive markets. Criteria: Pure and perfect competition Imperfect competition Monopolistic competition Oligopoly Monopoly Number of sellers Number of buyers Type of the commodity Price control Barriers of entry to the market Access to the market information Examples of real production markets

Which statement best describes a characteristic of a command economy? The government prohibits a formation of monopolies in the economy. The government owns most production resources and businesses. The government has minimal involvement in the economy The government encourages innovation among private businesses

Which of the following is not an example of an entry barrier? Group of answer choices Capital needed to start business. Government licensing or franchising. Low production costs. Strong brand recognition. All of the above are barriers to entry.

In “Hot Dog Hail Mary,” they discuss how the original model served low-quality food at high prices. What must the vendors believe about the price elasticity of demand for concessions for this business model to make sense?