Elucidate how to maintain competition
Elucidate how to maintain competition?
Expert
1. Competition is the market mechanism that encourages producers and resource suppliers to respond to consumer sovereignty.
2. If producers (and/or resource suppliers) have monopoly power, the monopolist can charge higher-than-competitive prices and supplant consumer sovereignty with producer sovereignty (or economic rent).
3. If “natural monopoly” exists, government regulates price and service. (Natural monopoly exists when technology or economic realities make a monopoly more efficient than competition.)
3. Where competitive markets are more efficient, anti monopoly laws (Sherman Act of 1890; Clayton Act of 1913) are designed to regulate business behavior and promote competition.
Describe the Euro?
Why entertainment tax comes in indirect tax? Answer: Since its burden can be shifted to others.
When, in a perfectly competitive industry, where the market price facing a firm is above its average total cost on the output here marginal revenue equivalents marginal cost, in that
How market system promotes technological improvements?
Not like speculation, there arbitrage is: (w) an activity which is generally more lucrative when conditions are favorable. (x) a profitable and relatively riskless activity. (y) the process of representing a domestic company within fo
Illustrate a fundamental characteristic of demand behavior?
Writ short note on the income of functional distribution?
Illustrate the Law of supply?
Concept of Adam Smith that the market system automatically adjusts as when guided through an “invisible hand” most intimately resembles: (1) flows of electricity across the microcircuits within computer chips. (2) homeosta
Explain the foundation of economics where society’s material wants are scarce resources?
18,76,764
1960325 Asked
3,689
Active Tutors
1429134
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!