Beside barriers to entry, what are some of the other reasons for incumbents to maintain their profits?
What will be an ideal response?
Beside barriers to entry, there are other factors: degree of rivalry within the industry, threat of substitutes, buyer power, and supplier power.
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If you observe me choosing bundle A over bundle B on Monday, bundle B over bundle C on Tuesday and bundle C over bundle A on Wednesday, it must be that my tastes violate transitivity.
Answer the following statement true (T) or false (F)
The series of induced changes in consumption spending that result from an initial change in autonomous expenditure is called the
A) induced effect. B) autonomous effect. C) multiplier effect. D) consumption effect
Which of the following activities will generate a negative externality?
a. A beekeeper keeping bees for honey b. Inoculations for communicable diseases c. Research and development activities of a firm d. A chemical factory set up in a residential area e. Improvement in education facilities
The identification of hazardous wastes under the Resource Conservation and Recovery Act (RCRA)
a. uses benefit-cost analysis for characteristic wastes b. uses a uniform approach to implement the identification criteria c. employs an index based on toxicity d. is based on risk-benefit analysis