Why is advertising prevalent in monopolistic competition? Which of the following are reasons a firm might choose to advertise? Correct Answer(s) a. to improve product visibility b. to make demand for its product more elastic c. to improve efficiency d. to educate consumers about a product e. to lower costs to signal that a product is of high quality

Find the interest rate for a $4000 deposit accumulating to $5234.58, compounded quarterly for 9 years

Refers to the way we conduct ourselves

4. suppose that pollution in a neighborhood comes from two factories, with marginal benefit curves given by mb1 = 12 – p1 and mb2 = 8 – p2. the level of pollution in the neighborhood is given by p = p1 + p2. the government wants to limit pollution by instituting a pollution-rights market. the government’s desired level of p is 10, so it prints 10 pollution rights and offers them for sale to the firms. a)find the equilibrium selling price of a pollution right, as well as the allocation of rights (and hence pollution levels) across the two factories. b)repeat part (a) for the case where the government’s desired level of pollution equals 14. c)comment on the usefulness of a pollution rights market in achieving efficient levels of pollution abatement.