QUESTIONS FOR CLASSROOM DISCUSSION ON BASIC MARKET STRUCTURE AND PERFECT COMPETITION

This real-world application is a bit different than our other applications because it actually doubts the economic theory we have been working with all semester. Could the supply curve actually be downward sloping in the “new economy?” Consider the following:

  • The author states that the products of the ‘new economy,’ “cost nothing at all to produce and distribute, and never get used up.” Do you agree with this statement?
  • Can you imagine a good or service with NEGATIVE marginal cost?!

Our classroom discussion will take place after exam #2!  

Posted by Prof. C-S

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: