Describe a real world market where you suspect there is collusion and price fixing among the sellers in the market. Be specific and explain why you think there is collusion.
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March 19, 2021Describe a real world market where you suspect there is collusion and price fixing among the sellers in the market. Be specific and explain why you think there is collusion.
Describe a real world market where you suspect there is collusion and price fixing among the sellers in the market. Be specific and explain why you think there is collusion.
1.-In your opinion, which is the most competitive industry that you are familiar with (be sure to give reasons that support your conclusion)? 2- Describe a real world market where you suspect there is collusion and price fixing among the sellers in the market. Be specific and explain why you think there is collusion. Economists have shown that law suits are solely responsible for driving up the costs of prescription drugs in the U.S. relative to the same drugs in Canada. The approximate price differential is that in Canada the same prescription drugs are about 40% less costly. In Canada, law suits against pharmaceutical companies and medical professionals are prohibited by law. Therefore, the prescription drug industry in the U.S. should be more regulated and subject to price controls such as those that are advocated by politicians who also take contributions from the American Trial Lawyers Association. If you were invited to debate one of these politicians, live, on PBS radio, what would you say using positive economic arguements? 4.- If you could choose to work as many hours during the week as you wanted at a given per hour wage rate, to what level would the per hour wage rate have to be before you would begin to choose fewer hours to work? Given your answer, does the supply of labor curve (wages on the vertical axis and hours worked on the horizontal axis) always slope upwards to the right?5.- In a right-to-work state such as Oklahoma, the lower marginal factor cost of labor will attract more business, increase the marginal revenue product of labor, keep prices lower, and increase wages over a much longer period of time than if organized labor had prevented the passage of right-to-work laws in Oklahoma. Agree or disagree and why?
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