Economics homework help

  1. Pick an industry to examine. Keep in mind that many industries are global in nature, so consumers and/or producers need not be located in the US.
  2. Chapter 3. What can you find out about the market structure in your industry? Which firms are squarely in the industry, which others arguably produce substitutes or complementary goods?
  3. Chapter 4. What can you find out about the production technology and the cost function? To what extent are there scale economies; how has that affected the number of firms in the market?
  4. Chapters 5-8. What strategic pricing strategies are used? Price discrimination based on identifiable characteristics (3rd degree)? Two-part tariffs or menu pricing (1st or 2nd degree)? Bunding?
  5. Chapters 9-10. Returning to market structure, what does it look like? Do firms seem like they compete in price (Bertrand competition) or quantity (Cournot competition)? Are the goods homogeneous or differentiated (and along what dimensions)? Does there seem to be a simultaneous-move or sequential-move structure?
  6. Chapter 11. What sequential aspects does the industry have (if any)? Do any commitment strategies seem to be in use (such as strategic investments to large capacity or cost-reducing investment)? Is there any evidence of entry-deterring strategies or predatory pricing allegations?
  7. Chapter 14. Does there seem to be collusion in the industry? Has there been collusion historically? What aspects of the industry would help the firms collude (or hinder collusion)?
  8. Chapters 16-17. What has been the recent history in the industry with respect to mergers? Have the mergers been horizontal, vertical, or involving complementary products? Have there been any