"What is economics? That's a great question, but not one with a simple answer. A dictionary will say something like this: "Economics is the study of the production, distribution, and consumption of goods and services." A traditional textbook might define it like this: "Economics is a social...

The Hotelling model is used to illustrate the effects of product differentiation on market outcomes. After introducing the model, we create a demand function for the product and examine the socially optimal amount and scope of variety. We then examine how monopoly and competitive market...

The Motion Picture Association of America is responsible for assigning all movies one of five movie ratings (G, PG, PG-13, R, NC-17). Previous research has found that G and PG-rated movies perform better at the box office, yet movie studios continue to make more PG-13 and R-rated movies. Other...

The Hotelling model is used to illustrate the effects of product differentiation on market outcomes. After introducing the model, we create a demand function for the product and examine the socially optimal amount and scope of variety. We then examine how monopoly and competitive market...