Do You Still Have to Register for the Draft

The Selective Service System wants you to know that the requirement to register for the draft did not go away with the end of the Vietnam War. Under the law, virtually all male U.S. citizens, and male aliens living in the U.S., who are ages 18 through 25, are required to register with Selective Service. While there is no draft currently in effect, men who are not classified as unfit for military service, disabled men, clergymen, and men who believe themselves to be conscientiously opposed to war must also register. Penalties for Failure to Register for the Draft Men who do not register could be prosecuted and, if convicted, fined up to $250,000 and/or serve up to five years in prison. In addition, men who fail to register with Selective Service before turning age 26, even if not prosecuted, will become ineligible for: Student Financial Aid - including Pell Grants, College Work Study, Guaranteed Student/Plus Loans, and National Direct Student Loans.U.S. Citizenship - if the man first arrived in the U.S. before his 26th birthday.Federal Job Training - The Job Training Partnership Act (JTPA) offers programs that can train young men for jobs in auto mechanics and other skills. This program is only open to those men who register with Selective Service.Federal Jobs - men born after December 31, 1959, must be registered to be eligible for jobs in the Executive Branch of the Federal government and the U.S. Postal Service. In addition, several states have added additional penalties for those who fail to register. You may have read or been told that there is no need to register  because so few people are prosecuted for failing to register. The goal of the Selective Service System is registration, not prosecution. Even though those who fail to register may not be prosecuted they will be denied student financial assistance, federal job training, and most federal employment unless they can provide convincing evidence to the agency providing the benefit they are seeking, that their failure to register was not knowing and willful. Who Does NOT Have to Register for the Draft? Men who are not required to register with Selective Service include;  nonimmigrant aliens in the U.S. on a student, visitor, tourist, or diplomatic visas; men on active duty in the U.S. Armed Forces; and cadets and midshipmen in the Service Academies and certain other U.S. military colleges. All other men must register upon reaching age 18 (or before age 26, if entering and taking up residence in the U.S. when already older than 18). What About Women and the Draft? While women officers and enlisted personnel serve with distinction in the U.S. Armed Forces, women have never been subject to Selective Service registration or a military draft in America. On January 1, 2016, the Department of Defense removed all gender-based restrictions on military service, thus allowing women to serve in combat roles. Despite this change, Selective serviced continued to register only men, ages 18 through 25.   However, on February 22, 2019, Senior Judge Gray Miller of the U.S. District Court in Houston, Texas, ruled that the practice of requiring only men to register for the military draft was unconstitutional. Finding that the male-only provision of the Selective Service Act violated the equal protection provisions in the Constitution’s 14th Amendment, Judge Miller stated that while discriminatory treatment of women in the military may have been justified in the past, it longer was. â€Å"If there ever was a time to discuss ‘the place of women in the Armed Services,’ that time has passed,† he wrote, citing the Supreme Court’s  earlier decision in the case of Rostker v. Goldberg. In the 1981 case, the Court ruled that requiring only men to register for the draft did not violate the Constitution since, at that time, only men were eligible to serve in combat. The government is likely to appeal Judge Miller’s ruling to the Fifth Circuit Court of Appeals in New Orleans. However, if Miller’s ruling is upheld, one of three things might happen: Women would have to register for the draft under the same rules as men;Selective Service and the draft would be eliminated; orRegistration for Selective service would become voluntary for men and women. Miller, however, delayed final implementation of his ruling until a special commission appointed by Congress to study the issue of the male-only draft issues its final findings due in 2020. As of now, the Selective Service System continues to register men only.   What is the Draft and How Does it Work? The draft is the actual process of calling men between ages 18 - 26 to be inducted to serve in the U.S. military. The draft is typically used only in the event of war or extreme national emergency as determined by the Congress and the president. Should the President and the Congress decide a draft was needed, a classification program would begin. Registrants would be examined to determine suitability for military service, and they would also have ample time to claim exemptions, deferments, or postponements. To be inducted, men would have to meet the physical, mental, and administrative standards established by the military services. Local Boards would meet in every community to determine exemptions and deferments for clergymen, ministerial students, and men who file claims for reclassification as conscientious objectors. Men have not actually been drafted into service since the end of the Vietnam War. How Do You Register? The easiest and fastest way to register with Selective Service is to register online. You can also register by mail using a Selective Service mail-back registration form available at any U.S. Post Office. A man can fill it out, sign (leaving the space for your Social Security Number blank, if you have not yet obtained one), affix postage, and mail it to Selective Service, without the involvement of the postal clerk. Men living overseas may register at any U.S. Embassy or consular office. Many high school students can register at school. More than half the high schools in the United States have a staff member or teacher appointed as a Selective Service Registrar. These individuals help register male high school students. Brief History of the Draft in America Military conscription — commonly called the draft — has been used in six wars: the American Civil War, World War I, World War II, the Korean War, and the Vietnam War. The nation’s first peacetime draft began in 1940 with the enactment of the Selective Training and Service Act and ended in 1973 with the end of the Vietnam War. During this period of peace and war, men were drafted in order to maintain necessary troop levels when vacancies in the Armed Forces could not be adequately filled by volunteers. While the draft ended after the Vietnam War when the U.S. moved to the current all-volunteer military, the Selective Service System remains in place if needed to maintain national security. The mandatory registration of all male civilians aged 18 to 25 ensures that the draft can quickly be resumed if needed.

Obesity Project Title Obesity - 10262 Words

Obesity Project Title Sydney Goetz, Dariush Shafa, and Olivia Turner Western Kentucky University Abstract The workplace is responsible for a majority of stress and decrease in sleep in the population and is a prime area to take control of obesity with certain requirements and incentives. Certain socioeconomic status groups can be targeted to decrease their risk of obesity and the stress factors that are included in their lifestyles. Certain stressful demographic areas can be assessed to promote less stressful lifestyles to decrease obesity risk and to educate about the importance of good sleeping patterns. The issue of obesity in America has progressed from beyond troublesome to potentially catastrophic. At the very core of this problem is the fact that education and engagement of the populace (as a whole) are largely lacking and this lack of knowledge is a major contributing factor to the growing problem with obesity. The implications of this chronic health problem are too great to ignore, particularly considering the ways in which the health care system is ill-prepared to handle the f allout of vast segments of the population suffering from this problem and the myriad disease processes with which it is closely associated and interrelated. In order to combat obesity the structures of cities must be transformed to make them more walkable. The structure of society must change to make inequality a smaller factor in the United States because it is highly correlated withShow MoreRelatedThesis: Junk Food Consumption by Children During TV Watching921 Words   |  4 PagesResearch Project Title: A teachign program to inhibit junk food consumption by children during TV-watching Submitted by: Dr. John Doe Title: Fast food advertisements should not be shown during TV shows for children Topic: Fast food advertisements should not be shown during TV shows for children Research Classification: Applied Objective: to structure an instructional program that would inform paretns about the hazards of fast food advertisements during TV shows for children and how to controlRead MoreEvaluation of a Peer-Reviewed Article1311 Words   |  5 PagesSections 1-5 Title. Question One: The title of the article in the American Journal of Health Promotion (Moss, et al, 2011) is in fact specific enough to set it apart from other articles about the obesity problem among young people in the United States (190). Question Two: The subtitles throughout the research article are very helpful in providing the reader with a breakdown of the various aspects and particulars of the report (190). Question Three: The main variables are in the title but they areRead MoreCommunity Health Improvement Pl Desoto County1677 Words   |  7 PagesHealth Improvement Plan DeSoto County John J. Merrill State College of Florida Community Health Improvement Plan, DeSoto County The data has shown that there is an ongoing problem with obesity in DeSoto County and many counties in Florida. The State of Obesity, reports that Florida s adult obesity rate is 26.4 percent, up from 20.7 percent in 2004 and from 11.4 percent in 1990(Florida, 2014). In 2011 for DeSoto County, the percentage of obese females was in the worst 25% of all countiesRead MoreHow Does Sushi King Influence the Eating Habits of Consumer by Providing Healthy Eating?859 Words   |  4 PagesTITLE: HOW DOES SUSHI KING INFLUENCE THE EATING HABITS OF CONSUMER BY PROVIDING HEALTHY EATING? BACKGROUND: Sushi Kin Sdn. Bhd. pioneers a new age of Japanese cuisine in Malaysia in 1995 which has quickly gained its popularity among the customers both locally and internationally. To date, there are more than 60 outlets in the nation which happens to be the largest chain of food restaurants using a speedy service concept called ‘revolving sushi’ or ‘kaiten sushi’. Its ultimate goal of businessRead MoreBusiness Proposal From Unite Against Obesity: A Nonprofit Organization for Prevention of Pediatric Obesity1705 Words   |  7 PagesAgainst Obesity: A Nonprofit Organization for Prevention of Pediatric Obesity. A Proposal 2. Letter/Memo of Transmittal MEMORANDUM To: Recipients name and title From: Unite Against Obesity Date: Date you turn in your report Subject: Report name The childhood obesity issue has become so prominent that First Lady Obama has adopted childhood obesity as her pet project and has sworn to end it within a generation (USA Today. (2/9/2010). To that end and to assist her, Unite against Obesity, recognizingRead MoreEffects Of Obesity On The Low Income Population Of Mississippi1708 Words   |  7 PagesFrom: Amna Robadi, RE: Obesity Policy Analysis Date: April 23, 2015 Problem Statement What measures should Governor Bryant take to reduce childhood obesity in the low-income population of Mississippi? Background According to the recent data, Mississippi now has the highest adult obesity rate in the nation. Mississippi s adult obesity rate is 35.1 percent, up from 28.1 percent in 2004 and from 15.0 percent in 1990 (2015 Mississippi Obesity Action Plan). Obesity is also affecting childrenRead MoreScience Case Study Project Research Methods1472 Words   |  6 Pagesportray a patient population. Appendixes and References 1. Time Schedule/Time Line I would like to observe, film, interview, and interact with five different participants. Preparation time (in terms of gathering all the necessary resources for the project) will be about two to three weeks. I also estimate that it will take at least two to three weeks for the participant to get used to having a researcher monitoring them, and to have cameras around much of the time. After that, the estimated time IRead MoreA Scientific Discussion About Diet And Exercise For Health And Weight Loss881 Words   |  4 Pagesagents of the Zimmerman Agency, I would like to introduce myself, I am James Clark. I came across your contact information through your website as an agent that might be able to assist me with getting a completed manuscript published. The working title of this book is A scientific discussion about diet and exercise for health and weight loss. What we know†¦ what we think we know†¦Ã¢â‚¬  This manuscript was previously examined by Pegasus Publishing, unfortunately, it did not move forward following a fullRead MoreShould Sugar Be Regulated?1338 Words   |  6 Pageswhen we eat, we eat sugar. Unfortunately, sugar is now considering a toxic to our bodies. It causes diseases like obesity, diabetes, heart attack and cancer, etc. As sugar threatens the public health, government is considering curb sugar consumption by taxes on sugar; restrictions placed on food production and even age requirements on purchasing sugary foods. For this research project, I decided to pursue the question, Should sugar be regula ted? This question deserves to be examined because we needRead MoreGetting Fit With The Grizzlies : A Community School Home Initiative Fight Childhood Obesity1686 Words   |  7 Pagesintervention, which has been taken for its successes and failures. Having a key understanding of the positives and negatives in this intervention will be beneficial when planning for our own group project. In this specific article, â€Å"Get Fit With the Grizzlies: A Community-School-Home Initiative to Fight Childhood Obesity,† written by Carol C. Irwin, Richard L. Irwin, Maureen E. Miller, Grant W. Somes, and Phyllis A. Richey, put into action a get fit program to motivate children to obtain knowledge of living

Equilibrium Supply and Demand and Price Free Essays

string(133) " has comparative advantage in X \(gives up 1Y for additional 1X †¦ whereas country A needs to give up 2Y for an additional X\)\." Test Version A SEMESTER I EXAMINATIONS Mid-Term Assessment ECON 30110 Microeconomics II Time Allowed: 50 minutes Instructions for Candidates This exam counts for 30% of the Module Grade. All questions carry equal marks. Note there is NO negative marking Correct answer is worth 1 mark. We will write a custom essay sample on Equilibrium: Supply and Demand and Price or any similar topic only for you Order Now No answer or more than one answer, will both receive a 0 mark. Incorrect answer will receive a 0 mark. Attempt all 20 questions. Shade in the box in the appropriate space with a HB pencil on the RESPONSE SHEET. Write the test version at the top of the RESPONSE SHEET You may use the paper provided to make notes or calculations to help you. Instructions for Invigilators Foreign language/English dictionaries are permitted. Non-Programmable Calculators are permitted NO MOBILE PHONES ALLOWED 1. If two people in a pure exchange economy have identical utility functions, then they: a) may want to trade if their marginal rates of substitution are different b) will want to trade if they are on the contract curve c) will not want to trade if their consumption bundles are not Pareto-efficient d) will only want to trade if they are not at their endowment e) may want to trade if the price ratio is not equal to one nswer a If MRSA is not equal to MRSB, the two consumers will be able to arrange a mutually beneficial trade. Mutually beneficial trade will not occur only when the allocation of resources among A and B is already efficient. In the case of our two-consumer economy, MRSA=MRSB indicates an efficient allocation of goods (on contract curve). 2. Suppose in a two-good (X and Y) two-person (Ann and Bob) exchange economy, the MRS for person A is YA/XA and the MRS for B is YB/XB. The total amount of X is 40 and the total amount of Y is 40. Ann has an initial endowment of 10 units of X and 30 of Y, while Bob has the remainder. This implies: a) No trade will take place. b) Ann will give some of Y to Bob in exchange for X. c) Ann will give some of X to Bob in exchange for Y. d) Ann will give some of X and Y to Bob. e) There is no enough information to make any predictions Answer b: MRSA = 30/10 = 3 Ann will give 3Y for 1X (or 1Y for 1/3X) MRSB = 10/30 = 1/3 †¦. Bob will give 1Y for 3X (or 1X for 1/3Y) Ann will trade Y for X (gives 1Y for min 1/3X and Bob accepts †¦.. n exchange for 1 Y will give up to 3X) 3. An Edgeworth Box is shown for individuals A and B, along with the contract curve. Which of the allocations b through i can be reached through free trade from â€Å"a†, and once they have been reached no further mutually beneficial trade is possible? a) Allocations b, e and f only b) Allocations c, i and f only c) Allocations d, c, i, g and h only d) Allocations c and i only e) None of these Answer: d Given endowment a, only points within the lens shaped area are mutually beneficial, or pareto superior (so points c, i and f). That is to say, any point outside of this lens would result in at least one of the individuals being worse off compared with point a. However, at only the points on the contract curve illustrate outcomes that are pareto efficient – where the indifference curves are just tangent (MRS of A and B are equal). That is to say, pareto efficiency means that no one can be made better off without someone else being made worse off. So all the gains from trade are exhausted and no further mutually beneficial trade is possible. Point f is not on the contract curve, represents a case where MRS of A and B are different, and hence a case where further mutually beneficial trade is possible. ) 4. An Edgeworth Box is shown for individuals A and B. The endowment point E represents the initial allocation of the goods X and Y. A price line is shown passing through points E, A and B, representing a given price ratio of –PX/PY. At this given price ratio, which of the following statements is Tr ue? a) We are at a competitive equilibrium ) To achieve a competitive equilibrium, the price of good Y will rise and/or the price of good X must fall c) To achieve a competitive equilibrium, the price of good X will rise and/or the price of good Y must fall d) To achieve a competitive equilibrium the price of both goods must rise e) We cannot achieve a competitive equilibrium given the initial endowment Answer b At the given price ratio, there is excess demand for Y and excess supply of X. This means that the price of good Y will rise and/or the price of good X must fall. Process continues until all excess demand and supply are eliminated, and IC tangent to each other (on the Contract curve) and to the price line (which will now be flatter. So in the competitive equilibrium all markets clear, MRSA = MRSB = PX/PY. (see lecture overheads) 5. Suppose the production possibilities for two countries, A and B, producing two goods, X and Y, are as follows: | A| B| X| 2| 7| Y| 4| 7| They can each produce any linear combination as well. Measuring X on the horizontal axis, the joint production possibility frontier: a) will kink away from the origin at 7 units of X. ) will kink toward the origin at 7 units of X. c) will kink away from the origin at 2 units of X d) will kink toward the origin at 2 units of X e) will not have a kink answer: a jointly the countries can produce either a total of 9X or 11Y. MRT of A is – 4/ 2= -2 MRT of B is – 7/7 = -1 Country B has comparative advantage in X (gives up 1Y for additional 1X †¦ whereas country A needs to give up 2Y for an additional X). You read "Equilibrium: Supply and Demand and Price" in category "Essay examples" Country A has a comparative advantage in production of Y (gives up 1/2 X for additional 1Y †¦Ã¢â‚¬ ¦ whereas B must give up 1X for additional Y) Jointly then can produce 9 X and 0 Y †¦Ã¢â‚¬ ¦ or 11Y and 0 X. These define the intercepts of the joint PPF. Kink arises where both countries specialise in good in which have a comparative advantage: so B produces only X (i. e. 7X) and A produces only Y (i. e. 4Y) If jointly produce more than 7X then B produces only X, and A both X and Y (with MRT of -2). If jointly produce more than 4Y then A produces 4Y and B both X and Y (with MRT of -1). Hence answer a 6. Competition results in the efficient product mix because: a) the slope of the production possibility frontier will equal the slope of the contract curve. b) the distribution of the final output is Pareto efficient. ) producers are setting MRT equal to minus the price ratio while consumers are setting MRS equal to minus the price ratio ensuring that MRT will equal MRS. d) consumers are on the contract curve e) none of these answer c ( see self assessment sheet 2, Q1, part iv. 7. One test of whether a firm is a profit-maximizing monopoly is to check whether the firm is operating in the elasti c portion of its demand curve. Why is this a relevant test and what would the elasticity be if the firm were maximizing revenue? a) If a firm were operating in the inelastic portion of the demand curve, it could raise its price and increase profit. Revenue is maximized when elasticity equals – 1. b) If a firm were operating in the inelastic portion of the demand curve, it could raise its price and increase profit. Revenue is maximized when elasticity equals 0. c) If a firm were operating in the elastic portion of the demand curve, it could raise its price and increase profit. Revenue is maximized when elasticity equals – 1. d) If a firm were operating in the elastic portion of the demand curve, it could raise its price and increase profit. Revenue is maximized when elasticity equals 0. e) None of these. Answer a see lecture and also self assessment sheet 3, question 1 part (v) for related question) 8. Consider a firm that is the sole producer of a homogeneous product. It faces a market demand function of Q =100 – P , where P is the price of the good, and Q is the quantity of the good demanded. The firm’s costs of production are given by 40Q. The profit maximising price is then given by: a) P = 100 b) P = 60 c) P = 30 d) P = 70 e) None of these solution d: Monopoly. Profits ? = TR-TC Profit max where MR = MC Q = 100 – P and hence P = 100 – Q So TR = 100Q – Q2 So MR = 100 – 2Q TC = 40Q so MC = 40 MR = MC implies 100 – 2Q = 40 Thus Q = 30 Therefore P = 100 – 30 = 70 9. Consider a firm that is the sole producer of a homogeneous product. It faces a market demand function of Q =100 – P , where P is the price of the good, and Q is the quantity of the good demanded. The firm’s costs of production are given by 40Q. Then the firm’s Lerner index is equal to: a) 1/2 b) 3/4 c) 11/7 d) 1 e) None of these Answer e: none of these From previous question, optimal P = 70 Lerner index = (p-c)/p = (70 – 40)/70 = 30 / 70 = 3/7 10. This figure shows the demand and cost curves facing a monopoly. 80 60 40 20 800 600 400 200 0 The deadweight loss of the monopoly is: a) 48000 ) 4000 c) 2000 d) 32000 e) None of these Answer c: Draw in MR curve – cuts horizontal axis at ? Q of demand function, and has same intercept at the D on the vertical axis. MR cuts horizontal axis at Q = 40 Setting MR = MC allows monopolist to charge P = 600 (and output of Q = 20) (note: alternatively, from picture ca n see that expression for demand function is P = 800 – 10Q †¦Ã¢â‚¬ ¦.. when Q = 0 then P = 800 †¦.. and slope given by – 800 / 80 = – 10 Hence, TR = 800Q – 10 Q2 and so MR = 800 – 20Q. Set MR = MC we get Q = 20 and substituting into inverse demand we get P = 600) Competitive output occurs where P = MC = 400 and so Q = 40 DWL = area of shaded triangle = ? (600 – 400) * (40 – 20) = 100*20 = 2000 11. Suppose a monopolists price elasticity of demand is –5, and the marginal cost of production equals â‚ ¬80. The monopolist’s profit maximising price is then equal to: a) 75 b) 400 c) 16 d) 100 e) Cannot be computed with the information given Answer d Lerner index = (p-c)/p = 1/e So (p – 80)/p = 1/5 Hence solving for p gives p = 100 12. If the government regulates a natural monopoly by forcing it to set a price equal to Marginal Cost then a) the natural monopoly will still make high profits. b) the natural monopoly will shut down ) the natural monopoly’s marginal cost curve will shift down. d) the natural monopoly’s marginal cost curve will shift up. e) the natural monopoly will earn zero profits answer b. Natural monopoly has MC below AC. So p = MC would mean loss – which would mean exit 13. perfect price discriminating monopolist: a) generates a dea dweight loss to society. b) Provides quantity discounts to customers buying larger quantities c) charges each buyer her reservation price. d) charges different prices to each customer based upon different costs of delivery. e) reduces, but does not eliminate, consumer surplus nswer c see lecture. With perfect price discrimination each consumer charged reservation price, which allows monopolist to fully extract consumer surplus (so CS is zero) and maximises total social welfare (so no deadweight loss) 14. A monopoly sells to two countries, and resales between the countries are impossible. The demand functions of the two countries are given as P1 = 100 – Q1 P2 = 120 – 2Q2 The monopolists marginal cost is â‚ ¬30. The profit maximising monopolist will set prices as follows: a) P1 = 65 and P2 = 75 b) P1 = 35 and P2 = 22. 5 c) P1 = 68. 33 = P2 d) P1 = 100 and P2 = 60 ) None of these Solution a: Profit max monop will choose p1 to max profit in country 1, and choose p2 to m ax profit in country 2. We have two separate demand functions. Hence, this implies MR1 = MC and set MR2 = MC TC = 30Q TR1 = 100Q1 – Q12 MR1 = 100 – 2Q1 = 30 MC Solving: Q1 = 35 And hence P1 = 100 – Q1 = 65 TR2 = 120Q2 – 2Q22 MR2 = 120 – 4Q2 = 30 MC Solving: Q2 = 45/2 = 22 ? And hence P2 = 120 – 2Q2 = 120 – 45 = 75 15. Two firms, A and B, selling identical products face an inverse market demand function given by P = 100 – Q, and each have a constant marginal cost of 40. The firms simultaneously choose quantities to maximise profit. Firm A’s reaction function can then be written as: f) qA = 30 – qB g) qA = 30 + ? qB h) qA = 60 – qB i) qA = 30 – ? qB j) None of these Answer d: DEMAND : P = 100 – Q Two firms in the industry, so Q = qA + qB Hence we can write P =100 – qA – qB Profit function for firm A: = TR – TC = P qA – C Thus, ? A = 100qA – qA2 – qAqB – 40qA Firm A will choose qA to maximise profit, given the qB set by its rival B †¦.. First order condition for profit maximisation then is A / ? qA = 100 –2 qA – qB – 40 = 0 Rearranging, we find qA = (60 – qB) / 2 = 30 – ? qB †¦.. this is firm A’s reaction function †¦Ã¢â‚¬ ¦ in order to maximise it’s profit, firm A will choose and output qA that is a best response to qB †¦Ã¢â‚¬ ¦ Identical firms, so similarly qB = 30 – ? qA †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. this is firm B’s reaction function †¦Ã¢â‚¬ ¦ in order to maximise it’s profit, firm B will choose and output qB that is a best response to qA†¦Ã¢â‚¬ ¦ 16. Two firms, A and B, selling identical products face an inverse market demand function given by P = 100 – Q, and each have a constant marginal cost of 40. The firms simultaneously choose quantities to maximise profit. The equilibrium outcomes are: k) P = 40 and qA = 30 = qB l) P = 60 and qA = 20 = qB m) P = 70 and qA = 15 = qB n) P = 100 and qA = 20 = qB o) None of these Answer b Solving reaction functions: 1) qA = 30 – ? qB 2) qB = 30 – ? qA Substituting equation (2) into equation (1) we can then solve for the optimal qA that A should choose to maximise profits†¦. qA = 30 – ? (30 – ? qA) qA = 20 Since we have identical firms, we know that similarly we can solve for qB = 20 Market quantity Q = qA+ qA = 40 And we can solve for the market price. Since P = 100 – Q this implies that P = 60 17. In a Bertrand model with differentiated products p) price is independent of marginal cost. q) firms set price at marginal cost. r) firms set price independently of one another. s) firms can set price above marginal cost. t) price may be either equal to or above marginal cost answer d 18. In a homogeneous good Bertrand model, the equilibrium price u) declines with the number of firms in the market v) is independent of the number of firms in the market w) is independent of marginal cost x) is above marginal cost . ) is the same as the monopoly price answer b (note n = 1 implies a monopoly and not an Oligopoly). for n = 2, p = mc †¦.. and for all n;2 price = mc so price does depend upon mc, is equal to mc, and is independent of the number of firms in the market 19. In the long run in a monopolistic competitive market, a) Firms will set P ; MC and produce where P = AC b) Firms will set P ; MC and produce where P ; AC c) Firms set P = MC and produce where P = AC d) Firms set P = MC and produce where P ; AC e) Total Social Welfare is maximised Answer a Have market power: set P ; MC †¦. ut no entry barriers, so in long run all profits are eroded and so P = AC and profits are zero 20. The payoff matrix for two firms, A and B, that must choose between setting a High or Low price strategy is shown as follows: | Firm B| Firm A| | Low| High| | Low| (10 , 10)| (25 , 5)| | High| (5 , 25)| (20,20)| A Nash equilibrium in this game is: a) Both firms set a High price b) Both firms set a Low price c) Firm A sets a Low price and firm B sets a High price d) Firm A sets a High price and firm B sets a Low price e) There is no nash equilibrium in this game Answer b How to cite Equilibrium: Supply and Demand and Price, Essay examples