The Effect Of Changes In Gasoline Prices On The Demand For Restaurant Meals
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Micro Review Discussion Questions: “Oil Prices Poised to Hit Sweet Spot for Global Economy” and “Trucking Company Failures on the Rise”
OIL:
How should we expect the cost of oil to affect the cost of producing gasoline, diesel and other oil-based products in the US and other parts of the world? Why?
What is the effect of changes in gasoline prices on the demand for restaurant meals? Is gasoline an economic complement of restaurant meals? Are restaurant meals an economic complement of gasoline?
TRUCKING:
There are more than 168,000 interstate motor carriers with more than 2 million trucks in the U.S., according to the American Trucking Associations, an industry group. Does the large number of carriers necessarily indicate that the industry is perfectly competitive?
What might you infer about the price elasticity of demand for diesel fuel in the short run? In the long run?
Chapter 2 Discussion Questions: “Snack Giant Mondelez Makes $23 Billion Takeover Bid for Hershey” and “Sales Pressure on Mondelez, Hershey Could Bolster Case for Merger”
Describe/explain how Mondelez, which is attempting to acquire Hershey, is pursuing economies of scale.
Describe/explain how Mondelez is pursuing economies of scope.
How does the purchase of Hershey provide Mondelez with potential benefits related to learning economies?
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