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1) What does it mean to have market power? Are firms with market power extremely profitable? 2) Can you identify a healthcare firm with market power? What characteristics led you to choose the firm that you did? 3) Why would a merger reduce costs? Why would a merger increase markups? Why do many mergers fail nonetheless?

Economics Nov 21, 2020

1) What does it mean to have market power? Are firms with market power extremely profitable?

2) Can you identify a healthcare firm with market power? What characteristics led you to choose the firm that you did?

3) Why would a merger reduce costs? Why would a merger increase markups? Why do many mergers fail nonetheless?

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