Which of the following demonstrates the endowment effect?

Rainbow Writer (RW) is a small company selling an excellent software package for printing special messages directly onto artillery ammunition shells.  The warriors who use these shells believe that the special messages increase the accuracy of their strikes at the enemy.  RW is currently earning $2 million per year selling only to its customers.  Odeon is a company that produces artillery shells, and they have expressed an interest in bundling some of RW’s technology to allow the wives of the warriors to write special messages to the enemy.  Odeon thinks that including RW’s technology would allow it to boost profits above the current $12 million they are earning.  The decision tree above shows the strategies and outcomes of the bargaining game… Odeon will offer either $30 or $40, and RW will accept or reject the offer. What is the equilibrium outcome in this game (i.e. what do you think will happen)?

A firm in monopolistic competition will not be able to earn profits in the long-run unless it can convince customers that its product is differentiated from its competitors’ offerings.

An average Mastiff puppy weighs 2.72 kilograms. How many pounds is an average Mastiff puppy? (1lb = 453.6 g)

The average distance between the Earth and the Moon is 240,000 miles. Express this distance in kilometers. (1 mi = 1609 m)

Over the long run, what will happen to the demand curve faced by a monopolistically competitive company that is earning short-run profits?  

Unstimulated nerve pathways cause the brain to favor one eye in the patient. What is the proper term for “Lazy Eye?”

A 55-year-old patient with diabetes and chronic kidney disease is admitted with a urinary tract infection (UTI). The healthcare provider prescribes a cephalosporin antibiotic. Which of the following statements accurately compares first-generation and third-generation cephalosporins, and indicates the preferred choice for treating this patient’s UTI?

The graph above shows Ruben’s demand for ice-cream cones curve.If the market price is $3.00, what is Ruben’s consumer surplus?

In April, buyers of hairbrushes expect the price of hairbrushes will fall in May. What happens in the hairbrush market in April, holding everything else constant?