ECON 6010B: Managerial Economics

Final Exam Spring 2022: Due Monday 11th 2022 Midnight

THIS IS A RESEARCH BASED TAKE HOME EXAM AND MUST REFLECT SO
Instructions
• Answer TWO questions as follows;
• Part A – Conceptual: Compulsory.
• Part B – Analysis & Discussion: Select ONLY one Question.
• Part A question is worth 15 points, and Part B questions are worth 15 points
each (total maximum points are 60/2=30)
• For Mid Exam Make up, see Part C of this exam for instructions.
• Number all your questions EXACTLY
• E.g., 1a, 1b or 1ai, 1aii) as they appear on the exam script
• Start new questions (i.e., 1, 2, & 3) on a new page.
• Present in a sequence, e.g., # 2 should not come before #1 and so on.
• Use of appropriate, well labeled diagrams, examples or calculations are
necessary to score higher points.
• The work must reflect serious research
• Cite your references in APA format.
• Use footnotes to provide source links for my quick verification.
• Use examples but be precise and clear in your answers.
• Please write with good grammar.
I CAN’T MARK WHAT I CAN’T READ

Part A: Conceptual Question worth 15 Points.

Compulsory.

Question 1: What is the role of cost and output optimization

(30/2 points)
a) For half a page and with use of cited references define concept of output
maximization (3 mks).
b) For half page and with use of a diagram, demonstrate and describe how Isoquants
are derived (3 mks).
c) For half page and with use of cited references define concept of cost minimization
(3 mks).
d) For half page, and with use of a diagram, demonstrate and describe how Isocosts
are derived (3 mks).

1
 e) Search for a journal article that was written based on the concept of production
optimization (18 mks);
i. In one page, explain the objectives of the research and how the concept
was applied.
ii. In one page, discuss the usefulness of its application on the subject of
study making sure you relate to the text context on the topic.

Part B: Analysis and Discussion Questions worth 15

Points Each.
Select only one Question.
If you answer both, only the first one will be marked regardless of which one was your
best.

Question 2: Monopoly Market Analysis (30/2 points)

a) With respect to the topic of monopoly market analysis, for half page each and
with use of citations.
i. Define a monopoly market structure. (2 mks).
ii. What are the key characteristics? (2 mks).
iii. Based on the characteristics above, identify a perfect example that very
closely captures and justify. (4 mks).
iv. What are its shortcomings of your example? (4 mks).
b) Search for a journal article that was written based on monopoly market analysis
(18 mks);
i. In one page, explain the objectives of the research and how the model was
applied.
ii. In one page, discuss the usefulness of its application on the subject of
study making sure you relate to the text context on the topic.

Question 3: Monopolistic Competition Market Analysis (30/2

points)
a) With respect to the topic of perfect market analysis, for half page each and with
use of citations.
i. Define a monopolistic competition market structure. (2 mks).
ii. What are the key characteristics? (2 mks).
iii. Based on the characteristics above, identify a monopolistic competition
market example that very closely captures and justify. (4 mks).
iv. What are its shortcomings of your example? (4 mks).
b) Search for a journal article that was written based on monopolistic competition
market analysis (18 mks);
i. In one page, explain the objectives of the research and how the model was
applied.
ii. In one page, discuss the usefulness of its application on the subject of
study making sure you relate to the text context on the topic.