What are tying contracts? How are tying contracts treated by antitrust enforcers?
What will be an ideal response?
Tying contracts are used by producers and require the buyer of one desired product to purchase another product as a condition for obtaining the desired product. They are prohibited under section 3 of the 1914 Clayton Act. The Federal government strictly enforces this provision of the law.
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According to the Application, recent reforms in Cuba have relied less on the free market in determining prices in the housing market
Indicate whether the statement is true or false
According to this Application, tariffs in the United States are very high on textiles, apparel items, and footwear, and within these categories tariffs are highest on the cheapest products
These tariffs disproportionately impact lower-income households because A) only lower-income consumers buy cheap, imported products. B) these cheaper products tend to be purchased by lower-income consumers. C) higher-income consumers can deduct the tariff from their income taxes. D) higher-income consumers tend to refuse to purchase products with tariffs.
Under conditions of perfect competition, profits can get squeezed out because of a
a. rising ATC curve. b. higher AR curve. c. higher MR curve. d. lower ATC curve.
A firm's output (Y) depends on how much capital (K) it has, according to the equation: Y = 20K - K2. The real interest rate is 6% per year, the depreciation rate of capital is 14% per year and the price of a unit of capital is $80, and each unit of output sells for $1.(a)For capital levels of 0 to 6, how much is output?(b)For capital levels from 1 to 6, calculate the marginal product of capital.(c)How many units of capital does the firm desire?(d)If the real interest rate was 1% per year, how many units of capital would the firm desire?
What will be an ideal response?