ATTEMPT ALL QUESTIONS ON THE CONCEPT OF EXCESS CAPACITY ASSIGNMENT

1           What could be the causes of excess capacity in production                                (5mrks)

2.           Define the term price discrimination and give any four examples                    (5mrks)

3.           Describe the basis of price discrimination                                                              (4mrks)

4.         What conditions are necessary for the success of price discrimination               (6mrks)

5. Which measures should be taken to control monopoly power in a country                 (10mrks)