ECON 2200 Final: 3330 final exam

Essay questions are due at the end of the course. It is strongly recommended that you accumulate your answers as you complete each unit and don't leave them all until the last minute. Please type your responses to the following short answer/discussion questions and short problems. Although your answers need not be lengthy (generally, 1-2 short paragraphs is fine), you should be careful to respond to all parts of the question asked. It is very important that your answers demonstrate that you have made the effort to read the chapter that relates to the question and thoroughly studied the relevant topic. Answers should be submitted in complete sentence and paragraph form, and writing presentation is important. Please remember that late essay questions are NOT accepted. 1. How is a "market" defined? Distinguish between an industry and a market. (1 point) 2. Suppose a market becomes more competitive over time. What happens to the elasticity of demand for a particular firm's good as its market becomes more competitive? (1 point) 3. Why are the monopolist's and the monopolistically competitive firm's demand curves downward sloping while the competitive firm's demand curve is horizontal? (1 point) 4. Why is a perfectly competitive firm's long-run supply curve the same as its marginal cost curve above the average total cost curve? (1 point) 5. Explain why monopolists do not achieve efficiency. (1 point) 6. Another student advocates the forced break-up of large firms, such as Microsoft and AT&T, on the grounds that they have a lot of monopoly power, which they use to charge inefficiently high prices. According to Schumpeter, would breaking apart these gigantic firms guarantee consumers lower prices? Explain. (1 point) 7. Explain why firms should not shut down in the short run until price falls below average variable cost. (2 points) 8. Suppose your economics professor publicly states that she grades on a curve (i.e., the top 10% of the students get an A, the next 20% get a B, the next 40% get a C, the next 20% get a D, and the lowest 10% fail). The whole class could save itself a lot of work by agreeing privately not to study at all for the final exam and just letting the rankings thus far determine the final grades. Why might such an agreement be difficult to maintain and enforce? Which market structure, if any, is this situation most analogous to? (1 point) 9. Why do firms practice price discrimination? Is efficiency affected by price discrimination? If so, how? (1 point)

Do you answer this for me? Choose anything as a research question that you want? I just need this done for me!! I need all 3 parts answered, please!

1. Select any research idea that you are interested in. Write down a research question. For example, I am interested in the Salary of baseball players. My research question is "Does age determines the wages of baseball players?"

2. Write down your research question in a functional form that can be tested using the Regression Analysis. Your model must include an endogenous variable and at least three exogenous variables. One of the exogenous variables should be the "main interest" variable. Explain why For example, my endogenous variable is "wages" and my main-interest exogenous variable is "players' age (age)". However, I know that other factors can affect players' salary such as performance (Perf), the market size of the team that they are playing for (Pop), etc. My model will look like

Wages = b0 + b1Age + b2Perf + b3Pop

3. Provide "expected sign" for the coefficient b1, b2, b3 with the reason behind your belief. For example, my expected sign for b1 is positive because older players have more experience and should get more money. The expected sign for b2 should be positive because better performance should lead to better compensation. For b3, again the expected sign should be positive because the team that locates in a bigger city should have more fans and more money to pay its players.