Business
Business, 01.07.2021 16:00, valeriewatson10

A monopolist, unlike a competitive firm, has some market power. It can raise its price, within limits, without the quantity demanded falling to zero. The main way it retains its market power is through barriers to entry—that is, other companies cannot enter the market to create competition in that particular industry. Complete the following table by indicating which barrier to entry appropriately explains why a monopoly exists in each scenario. ScenarioBarriers to EntryExclusive Ownership of a Key ResourceGovernment-Created MonopoliesEconomies of ScaleThe Aluminum Company of America (Alcoa) formerly controlled all U. S. sources of bauxite, a key component in the production of aluminum. Given that Alcoa did not sell bauxite to any other companies, Alcoa was a monopolist in the U. S. aluminum industry from the late-nineteenth century until the 1940s. Patents are granted to inventors of a product or process for a certain number of years. The reason for this is to encourage innovation in the economy. Without the existence of patents, it is argued that research and development for improved pharmaceutical products is unlikely to take place, since there's nothing preventing another firm from stealing the idea, copying the product, and producing it without incurring the development costs. In the natural gas industry, low average total costs are obtained only through large-scale production. In other words, the initial cost of setting up all the necessary pipes and hoses makes it risky and, most likely, unprofitable for competitors to enter the market.

answer
Answers: 3

Other questions on the subject: Business

image
Business, 21.06.2019 17:20, dixks
The following extract was taken from the worksheet of special events bakers for the year 2019. special events bakers worksheet december 31, 2019 account names cash equipment accumulated depreciation minus− equipment unadjusted trial balance debit credit $ 6 comma 800$6,800 15 comma 20015,200 $ 8 comma 500$8,500 adjusted trial balance debit credit $ 6 comma 800$6,800 15 comma 20015,200 $ 10 comma 000$10,000 for the above information, determine the amount of depreciation expense for the equipment used in the business
Answers: 3
image
Business, 21.06.2019 20:30, Juniyahodge
He management's discussion and analysis (md& a) required in general purpose federal financial reporting is different than that required by gasb of state and local governments in that: a. it includes information about the agency's performance goals and results in addition to financial activities. b. it is outside the general purpose federal financial report and is optional, not required. c. it is a part of the basic financial statements and, as a result, it is audited along with the financial statements. d. there are no significant differences.
Answers: 2
image
Business, 22.06.2019 00:00, kluckey3426
Which statement is true of both presidential and parliamentary systems of government? a. the executive branch operates independently from the legislative branch. b. the members of the legislative branch are directly elected by the people. c. the head of government is chosen by members of his or her political party. d. the head of government is directly elected by the people
Answers: 1
image
Business, 22.06.2019 11:00, PanjiUR9220
What is the correct percentage of texas teachers charged with ethics violations each year?
Answers: 2
Do you know the correct answer?
A monopolist, unlike a competitive firm, has some market power. It can raise its price, within limit...

Questions in other subjects: