5. An often prevailing belief is that when producers experience
an increase in cost, including an increase in taxes, they escape
the increase by simply “passing it on” to consumers. When might
this work? When might this not
work? Explain. [Hint: Is there a relationship
between elasticity of demand and tax incidence? You
might look to the related pencast for help.]
6. With the passage of time, supply becomes progressively more
and more elastic because with the passage of time consumers have
the opportunity...
When doing an experiment, the experimenter wants increase the
chances that subjects' characteristics, that could bias the results
of the experiment, and reduce the validity of the findings, are
equally distributed across the treatment groups. Which of the
following procedures would the experimenter utilize to accomplish
this purpose?
a) random assignment b) systematic assignment c) reliable
assignment d) all of the above
How could business leaders and society combat the type of
corporate misdeeds featured in “The Corporation”?
Apply Kant’s “Categorical Imperative” to the issue of gender
inequality in the work place.
Dunne, Inc. a U.S. corporation, earned $500,000 in total taxable
income, including $50,000 in foreign-source taxable income from its
branch manufacturing operations in Brazil and $20,000 in
foreign-source income from interest earned on bonds issued by Dutch
corporations. Dunne paid $25,000 in Brazilian income taxes and
$3,000 in Dutch income taxes. Dunne's U.S. tax rate is 21%.
a. The FTC limit related to the Brazilian
manufacturing branch is $ and of this amount, Dunne is
allowed
$.
b. The FTC...
what is the "blind spot bias"? How do you think that people
could work to combat both the blind spot and implicit biases? As
always, provide concrete examples.
Nancy always invests in firms that pay dividends. She believes
that when firms increase dividend, firm value will increase. Use
two dividend theories to support and explain Nancy’s belief.