Economics of Enterprise Answers

What is your opinion about the quote below.

"Social media can be a force of both GOOd and EVIL".

Draw new supply curve assuming that quantity supplied at given period

(I)increased by 10 unit

(ii)increased by 50 unit

(iii)decreased by 5 unit

(iv)halved

“Periods of economic instability” are in line with which of the following views of the business cycle?

Periods of economic instability” are in line with which of the following views of the business cycle?

a) The Structuralist view

b) The Keynesian view

c) The Classical view

d) The Monetarist view

“Periods of economic instability” are in line with which of the following views of the business cycle?

Which of the following will determine the level of autonomous consumption?

The level of economic growth

The level of risk and or uncertainty

The level of the interest rate

Savings and or credit

Periods of economic instability are in line with which of the following views of the business cycle?

The Structuralist view

The Keynesian view

The Classical view

The Monetarist view

“Periods of economic instability” are in line with which of the following views of the business cycle?

a) The Structuralist view

b) The Keynesian view

c) The Classical view

d) The Monetarist view

1.1 Read the following extract and answer question 1.1, 1.2. (4 marks)

Evidence of domination

Both the Competition Commission and Icasa found, in their inquiries, that Vodacom and MTN are dominant across the supply chain. Their dominance is even more entrenched by the spectrum-sharing deals that they have entered into with Cell C, Liquid Intelligent Technologies and Rain. Cell C is wholly reliant on MTN and Vodacom to provide mobile services,

Source: https://techcentral.co.za/mcleod-is-wrong-about-telkom/110373/

Accessed: 19/08/21

The economic argument being expressed in this extract is that of __________ and has the consequence of ______________.

a) Market failure, externalities.

b) Government failure, public goods being under-produced.

c) Market failure, inefficient allocation of resources.

d) Government failure, production possibilities.

Consider total cost and total revenue given in the following table:

Quantity01234567Total cost$88101113192737Total revenue $08162432404856

a. Calculate profit for each quantity. How much should the firm produce to maximize profut ?

b. Calculate marginal revenue and marginal cost for each quantity. Graph 

them. (Hint: Put the points between whole numbers. For example, the 

marginal cost between 2 and 3 should be graphed at ) At what quantity do these curves cross? How does this relate to your answer to part (a)?

c. Can you tell whether this firm is in a competitive industry? If so, can you 

tell whether the industry is in a long-run equilibrium?