Poorly disclosed prices
Lecture: Worry about undisclosed fees
Midterm Date: March 4th in Class
Contrary idea: prices that are not disclosed are actually beneficial?
Should consumers worry about undisclosed baggage fees from airlines?
Pushback to sho
o Substantive nuancesthere is no right answer (uncertainty/debatable)
o Battle groundonce you get to court and the FTC is saying to stop the merging, theyre arguing
about the market definition.
Whole Foods and Wild Oatssuperst
Economic Lesson for the wedding market
There's asymmetric information
The wedding market isn't doing so well
Customers can't compare the price which causes inefficiency
To have competition you must have price comparison
What goes wrong
Principles of Entrepreneurship: What Is Entrepreneurship?
Meaning of entrepreneurship has evolved over the centuries
U.S. Department of State (2007)
What Is Entrepreneurship?
What is meant by entrepreneurship? The concept of entrepreneurship was first
DEFINING ENTREPRENEURIAL ACTIVITY:
Definitions Supporting Frameworks for Data Collection
Nadim Ahmad and Richard G. Seymour1
This paper sets out definitions of the entrepreneur, entrepreneurship and entrepreneurial activity
for the purpose of supporting t
Institute for Competitiveness & Prosperity
Working Paper 15 February 2012
How to Contact Us
To learn m
Keys to Starting a Business
Dr. Edwin Cottrell
Entrepreneurial Leadership Center
Fall 2009 - Speaker Series
Today We Will Address
What is Entrepreneurship?
7 Keys to Success
1. Idea Generation
3. Legal Issues
JOURNAL OF SMALL BUSINESS & ENTREPRENEURSHIP
VOL. 15 NO.4
Innovation of SMEs in the
Frank C. Lee and Keith Newton
Quality management Strategies and
Performance: An Empirical Investigation
Bishnu Sharma and D
Journal of Management and Marketing Research, Volume 17 October, 2014
A synergistic approach to small business entrepreneurship
California State University Sacramento
A process model of the determinants of small business organizatio
Seduction by Contract: Law Economics, and Psychology in Consumer Markets
1. Why do sellers design contracts to provide short-term benefits and impose long-term costs?
2. Why are cell phones given away for free, so long as the consumer signs a two year ser
o You will spend a lot more on mortgages than credit card and in some ways it has some of the
most interesting issues
o In the case of credit cards: there were a bunch of competitions in this areas
A number of countries and
Evanston Hospital Merger
Negative experiences that the anti-trust had in trying to prevent hospital mergers in the 1990s or early
o The courts took as evidence that patients in general will be willing to go fairly long distances to
Topic: Cellular Mobilethe proposed merger in 2011 between AT&T and T-Mobile
Why is it referred to the cellular phone industry? B/c of the shape and there are cells that are defined
with towers in the center of it so that people can communicate t
Lecture 8AT&T and T-Mobile Merger
Scale economies leading to natural monopolies
Anti-trust in the wireless industry: AT&T and T-Mobile Merger (March/April 2010then rescinded
o AT&T, Version,
Next week office hours: 8:30-9:30am
Assignments due Thursday: Letter of introduction and photo and Discuss Agarwal article
Recap: Fundamentally, from societys point of view competitive markets are efficient. From the competitors
point of view it
Unilateral effect analysis
Remember the Learner Equation: statement between markup and demand elasticity that it faces
translation of marginal revenue = marginal cost
o (P-MC)/P = I/E where E is the elasticity of demand for the firm (not market
Smartphone Patten Wars: people suing each other for patent infringement
The issue: to make a smart phone it is estimated that you need to have a license for hundreds of patent
Anti-trust: Government regulating to ensure efficient competition in the economy
We started with consumer information b/c its fundamental: we cant really compete on making better
offers to consumers if your offers cant be trusted or if consumers
Lecture 16: Competition Policy of Interchange Fees Chapter 2 BarGale
What visa/master card/American express doesthe modern economics way to think about it is to say
the service it provides is helping the store and the consumer to transact.
o Credit cards
Debt buying & credit card debt
o Largely credit card and medical debt
o What is it about debt buying that makes the FTC concerned about it?
In the old days if you went to the dentist, and they lie to you, they can often charge you.
o The debt i
DOJ filed a suit against Microsoft Corp. because DOJ suspected Microsoft had monopolized the market for
personal computer operating systems and had used its monopoly to engage in a wide range of antitrust
Office Hours: 3:30-5:00pm
3 Pager for term paper feedback
International Trade Commission case 794USTR Letter Apple-Samsung
US Patent and Trademark Office/DOJ in January 2013 put out a policy statement
In the early 1900s Microsoft supp
What actually happened?
For a bunch of years you had this sector of an industry, thats less important now with the rise of Apple.
o The core processor was mainly produced by intel who is AMD and a pesky rival for intel and
April 29, 2014
If you demand more than your improvement is worth, people will say no thanks and so you have an incentive no more than
your improvements worth.
o The reward you get will be proportional to the improvement that you made and that gives you go
Lecture April 3, 2014
APRfacilitate comparison shopping
If youre comparing 2 proposed mergers, based on those offers, you should be able to tell which is more
expensive. Mortgage offers:
Interest rate s dont change, simple mortgages (calculating monthly p
April 10, 2014
Office Hours: 4-5:30
See him if you cant make the office hours and need to direct paper
Hw: write 3 pages of paper due next week Thursday
Do you have to have market power to have predatory pricing?
o In this particular case: ther
Lecture 15: Reverse Payments cont.
Recap of study: 3.5 billion is the estimate consumer impact per year
o Is this a big number?
It depends on the range of other firms. The highest was 7.3 billion and in comparison
with 3.5 billion it seems pretty reasonab
What Makes an Entrepreneur?
David G. Blanchflower
Andrew J. Oswald
Dartmouth College and NBER
To appear in Journal of Labor Economics, 1998, 16(1), pp. 26-60
This is an extended and revised version of NBER Working Paper # 3252.