1. Discuss how efficiency is achieved in competitive markets.
2. Give examples of firms in the monopolistically competitive industry and discuss how product differentiation is achieved in the industry.
3. Please post two (2) issues/questions you are struggling with in studying the chapters for the week so that your colleagues would help you address the difficulty. Please do not post questions from the internet. These have to be your personal difficulty with the material.
4. Endeavor to respond to the difficulties of at least two (2) of your colleagues.
Colleague 1
1. Some of the reading and additional research I did around price kept talking about “selling a lemon” in reference to cars. I was a little confused, was anyone else able to better understand the application?
2. Without getting too political, at what point should government or governmental policies step in to help the market? I feel like there is so much potential for good but that means there is equal potential for someone to abuse the system.
Colleague 2
1. It has been difficult for me to interpret the graphs for the efficiency in the competitive market and understand the formulas. What is a way that helped you understand the layout of the graph and how to graph these functions?
2. I understand pure monopoly but have some difficulty with what some examples would be. I know the book provides the example of major league baseball teams. What are some other examples?
5. SCAVENGER HUNT: After reading the relevant chapters, find and post (2-3) any relevant videos or links to online resources that might help the class understand and appreciate the concepts being discussed better.
