Question: Based on your answer to question 1, you will notice that barriers to entry in the market structures Perfect Competition and Monopoly are very different.

Based on your answer to question 1, you will notice that barriers to entry in the market structures Perfect Competition and Monopoly are very different. Between these two market structures, which has the environment that is possible for a firm to make super-normal profit and why? (4 marks) 9 ANSWER Question 4 Briefly explain "Economies of Scale" and how it can give rise to a market having a "Natural Monopoly." (About 100 words) (4 marks)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Mathematics Questions!

The output of a business and the price of its product are determined by the amount of competition faced rather than the objectives of the business.' Referring to examples and economic theory, discuss...

Case Study as background to the assessment questions You have been employed as part of the investments team working for a superannuation fund. One of your tasks is to examine the market for shares in...

You have been employed as part of the investments team working for a superannuation fund. One of your tasks is to examine the market for shares in firms in the Retail sector and firms that operate in...

Case Study as background to the assessment questions You have been employed as part of the investments team working for a superannuateon fund. One of your tasks is to examine the market for shares in...

This is an online GRADED discussion question. Check the Chapter 8 Discussion rubric to see how you will be graded. You have to post your response before being able to see the posts of your...

please answer this fast FIRST POSTING: . Select an industry that belongs to any one of the four market structures - perfect competition, monopoly, monopolistic competition or oligopoly. Explain why...

Select an industry that belongs to any one of the four market structures - perfect competition, monopoly, monopolistic competition or oligopoly.Explain why you think it belongs to your identified...

Suppose you illuminate two thin slits by monochromatic coherent light in air and find lhat they produce their first interference minima at 35.20 on either side of the central bright spot. You then...

Describe the major elements and issues with system prototyping.

Maria, age 3 0 , has set a pecsonal goal of being vice president of TIX Corp. by the time she is 3 2 . She has detecmined that mothing will stand in het way of her goal. When she hears through the...

Richard McLean wants to invest $4,100 in an account paying 5 percent compounded quarterly. What is the interest on interest after five years? Using financial BA II PLus calculator? n= ? I/y=? PMT=0...