Recent Posts • Latest Topics • Unanswered Questions

There were initially two satellite radio providers in the U.S. market, Sirius and XM Radio. The ...

Satsume

wrote...

Go to Answer

Posts: 761

Rep:

6 years ago

There were initially two satellite radio providers in the U.S. market, Sirius and XM Radio. The ...

There were initially two satellite radio providers in the U.S. market, Sirius and XM Radio. The firms merged to form one firm, and the federal government did not challenge the merger. Although the merger created a single seller in this market, the existence of a monopoly may not have much impact on U.S. consumers. Which of the following statements are plausible reasons for the limited impact of the merger?
A) There are very large fixed costs in providing satellite radio, and the industry may be a natural monopoly. One seller may be able to operate at lower cost than two sellers.
B) Although there will only be one seller of satellite radio, there are other forms of radio broadcasts available to U.S. consumers and demand for satellite radio may be relatively elastic.
C) The merged firm will operate at higher capacity and may be able to reduce costs through economies of scale and perhaps learning-by-doing, which will benefit U.S. consumers.
D) all of the above

Textbook

Microeconomics

Edition: 8^th

Author: Pindyck

Read 94 times

1 Reply

Report

Replies

Answer verified by a subject expert

oracledarren

wrote...

Posts: 455

Rep:

6 years ago

More solutions for this book are available here

Report

Related Topics

Satsume Author

wrote...

6 years ago

Just got PERFECT on my quiz

smdavis

wrote...

Yesterday

This site is awesome

Butwhy

wrote...

2 hours ago

This calls for a celebration Person Raising Both Hands in Celebration

New Topic

Quick Reply

Explore

Post your homework questions and get free online help from our incredible volunteers

1411 People Browsing

126 Signed Up Today

Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook

Live Chat

Related Images

163

983

167

Your Opinion

Previous poll results: What's your favorite coffee beverage?

Bonobos, Chimpanzees, and the 98% DNA Link

Courses by Biology Forums

The Toxic Skin and Fungi Defense

Strange Ingredients Lurking in Doritos Chips

It's sore throat season, why does my mucus have red spots?

Ready to ask a question on Biology Forums? Try it out

Join Our Community

Biology Forums - Study Force is a free online homework help service catered towards college and high school students. Get homework help and answers to your toughest questions in biology, chemistry, physics, mathematics, engineering, accounting, business, humanities, and more. Master your assignments quickly with thousands of step-by-step solutions to countless textbook questions asked and answered by our members. If we don't have your question, don't worry. You can ask any homework question and get expert homework help in as little as two hours.

Our extensive online study community is made up of college and high school students, teachers, professors, parents and subject enthusiasts who contribute to our vast collection of study resources: textbook solutions, study guides, practice tests, practice problems, lecture notes, equation sheets and more. With our help, your homework will never be the same!

Join for free today

How is Biology Forums - Study Force different than tutoring?

Home Search Q & A Board Gallery Resource Library Blog Dictionary Chat	Quick Links Start a Topic Latest Topics Unanswered Questions Courses Study Tools Browse by Textbook	Social Facebook YouTube Community Stats Who's Online Trending Staff	Help About Us Take the Tour Study Tips Posting Guidelines Terms and Policies Contact Us
Biology Forums - Study Force © 2010-2024 \| Powered by SMF \| SMF © 2015, Simple Machines \| Sitemap Biology-Forums.com is not affiliated with any publisher. Book covers, title and author names appear for reference only.