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- Q) What is the predicted pattern of trade under monopolistic competition? Explain why export prices fall in this trade model. Solve it correctly. Not copy paste answer givesQ) What is the predicted pattern of trade under monopolistic competition? Explain why export prices fall in this trade model. Solve it early and explain correctly. Not copy paste from Anywhere.Hi Expert Please help. Try to answer Number 1 only. What are the highest and the lowest priced commodities in Matrixville? Thanks
- Verizon can be viewed as a first mover. Now suppose both ATT and Verizon are considering whether and how to enter a potential market. Market demand is given by the inverse demand function p= 900−q1−q2, where p is the market price margin, q1 is the quantity sold by Verizon and q2 is the quantity sold by ATT. To enter the market, a retailer must build a store. Two types of stores can be built: Small and Large. The Small store requires an investment of $50,000, and it allows the retailer to sell as many as 100 units of the goods at zero marginal cost. Alternatively, they can pay $175,000 to construct a Large store that will allow it to sell any number of units at zero marginal cost. Assume Verizon enters and builds a Large store (i.e. chooses to build a Large store L1 at the first stage.) Calculate Verizon's profit for the following cases: a.) ATT chooses not to enter N at the second stage after viewing Verizon's choice. b.) ATT chooses to build a Small store S at the second stage…Verizon can be viewed as a first mover. Now suppose both ATT and Verizon are considering whether and how to enter a potential market. Market demand is given by the inverse demand function p= 900−q1−q2, where p is the market price margin, q1 is the quantity sold by Verizon and q2 is the quantity sold by ATT. To enter the market, a retailer must build a store. Two types of stores can be built: Small and Large. The Small store requires an investment of $50,000, and it allows the retailer to sell as many as 100 units of the goods at zero marginal cost. Alternatively, they can pay $175,000 to construct a Large store that will allow it to sell any number of units at zero marginal cost. Assume Verizon stays out of the potential market (i.e. chooses not to enter N1 at the first stage, q1= 0). Calculate Verizon's profit for the following cases: a.) ATT chooses not to enter N at the second stage after viewing Verizon's choice. b.) ATT chooses to build a Small store S at the second stage…Antidumping laws O allow foreign firms to easily enter the domestic market. O allows domestic firms to be protected from foreign competition by lowering their competitors' costs. O allows foreign firms to be more competitive in the domestic market. O allow domestic firms to be protected from foreign competition by raising their competitors' costs.
- Describe the four fundamental principles of integrative negotiation.What is market integration?We typically focus on firms from well-developed economies entering markets of less developed economies. Do firms from less developed economies have a chance of success if they enter developed markets, such as the United States? What competitive advantage could a firm from a less developed economy rely on in entering developed markets? What would likely be the best entry mode?
- Can a Japanese firm assembling e-Rickshaws in India after importing parts from subsidiaries in other Asian countries use transfer pricing to enhance its profits? How can governments determine that foreign firms are not using it to manipulate compliance?Suppose firms incur transportation costs to sell their product abroad. How do transportation costs affect the prices that firms charge abroad? Suppose the price offered at home and in the export market is identical, but there are transport costs to ship the good abroad. Does dumping occur? How does an increase in the number of product varieties benefit an importing country? Explain how increasing returns to scale in production can be a basis for trade. Why is trade within a country greater than trade between countries? Why would you expect sellers of branded goods with high upfront research and development costs to be more interested in free trade than producers who do not incur any fixed costs? Focus attention on the Ricardian model, the Heckscher-Ohlin model, and the monopolistic competition model if trade. Consider the intra-industry trade index for each model. What value for the index does each models predict? Explain your answer.Suppose the cost of producing product X (all in perfectly competitive markets) in 3 small countries (A, B, and C) each with different tariff structures that compose the world is as follows (using a common currency): Country A B C Cost 50 40 30 =========== A union (FTA) between country A and country C while keeping a 50 percent tariff on imports of X Select one: worsens country A’s welfare allows country A to import product X from the world’s cheapest source improves country A’s welfare diverts what would have been imported of product X from country B --------------------------------------------- =========== If A imposes a 100 percent tariff on imports of product X: Select one: the price of X in country A will rise the price of X in country B will rise country A will not import product X country A will import from country C