econ homework questions for kate

Chapter 13 Assignment

Soup Nazi video

Market power is defined as the ability to influence the market, and in particular the market price, by influencing the total quantity offered for sale.  A firm does not have to be a monopoly to have market power.  Even small firms can have some degree of market power (think of your favorite fast food).

Take a look at this video (link is below) and answer these three questions:

1) What topics that we have discussed is presented in this video?

2) How is that made clear to you in the video?

3) Explain the ending in terms of the material covered in these market structure chapters

4) Did the soup nazi have a monopoly, or did he simply have a lot of market power?  (How many places in Manhattan sell soup?)

Submit your answers by EOD on Sunday, June 14th.

http://www.youtube.com/watch?v=M2lfZg-apSAShare