The assignment questions get insist-upon you to do some calculations and too allot the concepts from the module. **** For computational heights, construct fast to profession your fruit and teach your steps.****
1. For this height use the Herfindahl Index to abuse communicate concentration:
a. Guess Apple has 45% of the U.S. communicate distribute for smartphones, followed by Samsung delay 30%, LG delay 9%, Motorola delay 8%, HTC delay 6%, and Nokia delay 2%. What is the Herfindahl Index for the smartphone activity inveterate on these mass? Inveterate on the Herfindahl Index, do you apprehend the legislation would be geting to encourage a merger between Apple and Samsung?
b. Now guess Nokia and Motorola succeed out delay a new smartphone that takes detached a gigantic chunk of communicate distribute from Apple and Samsung. The new communicate distributes are 25% for Apple, 20% for Samsung, 20% for Motorola, 20% for Nokia, 10% for LG, and 5% for HTC.
2. Use what you skilled environing faultless emulation, privilege, and oligopoly to exculpation these questions:
a. In the table adown is the size manufactured, the charge, the unroving costs, and mutable costs for a faultlessly competitive unshaken that faces a uniform charge of $150 for its result unmindful of the size it sells. Use the advice in the primitive lewd columns to compute the number for the terminal lewd columns. At what size should they effect inveterate on what you perceive delay your results?
b. How do you apprehend your exculpation faculty diversify if it became a monopolist delay all of its competitors leaving the communicate? Or if it became an oligopoly delay solely one or two competitors?