Author Archives: Jenna Wirtz

When Classic Oak hires two workers rather than one, the marginal product of the second worker would be 5 tables per week. There would be $800 in additional revenue if employment went from 2 to 3 workers. The company should … Continue reading →

Post three of your “margin notes” from your reading of the chapter to your blog. Why did you make the comment you made in the margin? What did you find confusing, useful, or important about the passage you commented on? … Continue reading →

Pretend for a moment you are the instructor developing this course. Write 3 short answer questions for an exam over this chapter that you believe cover the most important points in the chapter. Post all three questions on your blog. … Continue reading →

What do you think about anti-trust laws with respect to the cell-phone industry? Do you think the cell phone industry could be an oligopoly? Why or why not?   An oligopoly is a market where only a few sellers offer … Continue reading →

Which type of market does this business or industry compete in? List the characteristics of the market type from the text and explain how your example fits them and where it does not.         The example i … Continue reading →

Muse a little about the role of advertising in industries classified as monopolistic competition or even oligopoly. Can advertising make markets either more or less competitive? How? Advertising plays a big role in the market. Its purpose is to make … Continue reading →

How did your understanding of monopolies change after reading this chapter? What do you see differently now? I thought the chapter went a lot deeper into the concept of monopolies than what i had previously thought they were all about. … Continue reading →

Why does a perfectly competitive firm maximize revenues where P=MC? When MR equals MC increasing prodcution rises cost. So the firm will choose to produce a quantity so that price equals marginal costs (P=MC) so in the end MC is … Continue reading →

Marginal cost is the cost of producing more output per unit. Marginal cost falls briefly before rising again because of increases in production- at first producing more drives costs down but eventually get more and more expensive so prices must … Continue reading →

Now that you have had a chance to think about tax systems which type do you prefer – progressive, flat tax, income, consumption – there are quite a few possibilities.  How do you think the concept of equity or fairness … Continue reading →