Assume that you are working as an economist at DOJ. How would you go about analyzing the impact of the proposed merger between Sprint and T-Mobile? Would you be oppose the merger? What kind of counter arguments would you anticipate from Sprint or T-mobile?
Answer: After a long wait of around two years there seems to be light at the end of the tunnel for the USD26.5 billion T-Mobile and Sprint merger deal.
I would support the merger. Some of the positive aspects of this merger that I think include:
1) The merger would result in the emergence of third robust competitor to Verizon and AT&T companies.
2) The combined scale would bring in a faster and efficient network.
3) It would translate into better services at lower prices for the consumers.
4) From financial point, it would reduce pressure on the industry.
5) The merger would make it feasible an entry into 5G network that would not have been feasible if going alone.
6) As per the merger plan, an investment of around USD40 billion in 5G technology during teh next three years would culminate into job creation.
The doubts pertaining to raising of prices due to reduced competition does not seem to hold as the merger deal takes into account 3-year lock-in period of not raising prices.
Assume that you are working as an economist at DOJ. How would you go about analyzing...
Last Spring Sprint and T-Mobile announced to merge into one $146 billion company. The two companies argued that the merger will lower costs, “create competition and lower prices across wireless, video, and broadband” as well as other 5G technologies. List all, and describe two of, the steps you will take to examine whether or not such a merger should be allowed to go ahead. How would an economist justify (defend) government involvement in the economy? Give two broad economic reasons...
Please write a short essay (2-5 pages) on how we should go about analyzing and judging economic models, economic ideas, and schools of economic thought. In your essay, you should definitely address the following questions: 1. What you think economists should be focusing on when they study "economics"? 2. What methods of study, verification, dissemination, and teaching are appropriate? 3. How do we judge economic ideas and models in an objective manner? 4. Is it possible to examine abstract ideas...
Can someone please help me solve this and tell me how you would go about measuring these types of costs PROBLEM FOUR (20 POINTS) You are a resource economist for the state of Washington. The state is considering the removal of the Wynoochee Dam, which generates 10.8 Mw per year of electricity and also provides the water supply for the City of Aberdeen. You have been assigned as part of a team to determine the costs (not benefits) of this...
If you were an economist working for the U.S. government which of the following would you do unconcerned about maintaining stable prices while stimulating the economy if the economy was held at full employment? Use the rigid short run model where the AS curve is upward sloping. Use the rigid long run model where the AS curve is horizontally sloped. Use the rigid long run model where the AS curve is vertically sloped. Use the flexible short run model where...
How would you go about searching for a new primary care physician where you live? Describe in depth how you made your physician choice. What impact did price have on your decision making? What were the key factors that factored in your decision making? Summarize your decision making process.
What does a "systemic approach" mean? How would you go about it? How does this differ from a "systematic approach?"
How would you go about inputting the if statement for the cash budget?
How would you go about redesigning an account based forecasting to a driver based forecasting. What steps would you take to change the forecasting model from account base to driver base
Suppose you are an aide to a U.S. Senator who is concerned about the impact of a recent proposed excise tax on the welfare of her constituents. You explained to the Senator that the one way of measuring the impact of her constituents is to determine how the tax change affects the level of consumer surplus enjoyed by the constituents. Based on your arguments, you are given the go-ahead to conduct a formal analysis, and obtain the following estimates of...
Suppose you are an aide to a U.S Senator who is concerned about the impact of a recently proposed excise tax on the welfare of her constituents. You explain to the Senator that one way of measuring the impact of her constituents is to determine how the tax change affect the level of consumer surplus enjoyed by the constituents. Based on your arguments, you are given the go-ahead to conduct a formal analysis and obtain the following estimate of demand...