What is profit? There is accounting profit discussed in the textbook: profit = total revenues – explicit costs Let me relate profit to the factors of production. The three factors of production according to the textbook are land, labor, and capital. Let me add a fourth factor found in many economics textbooks: a return to the entrepreneur! (Entrepreneurs provide two services to society: organize resources and assume risk.) So how does a firm or entrepreneur maximize its profits? The answer is simple: provide society what it wants. (Note: this may be different from what society needs.) Note: Given this perspective, profit is something inherently good, something to be maximized, not feared. Let’s refine our understanding of this concept. Normal profit is that return necessary to attract and maintain entrepreneurial participation in some economic activity. Economic rent is return greater than normal profit.

Response:

1. Answer the following questions concerning covered and uncovered interest rate differentials and parity conditions:

a. Suppose the spot dollar-euro exchange rate is $1.20/€ , and the 60-day forward rate is $1.24/€. Is the euro selling at a forward discount or premium? What about the dollar?

b. Now suppose the interest rates on one-year U.S. and Eurozone (EMU) bonds are rUS = 5% and rEMU = 3%. You expect that, one year from now, the dollar-euro exchange rate will be at $1.26/€. Today the rate is $1.20/€.  Which should you invest in, the U.S. or EMU bond? Explain Hint use uncovered interest rate parity to get your answer.

c. Suppose the interest rate is 4% in the US and 8% in the UK.  If the actual exchange rate is e = $2.00/£1 (home is the US), what must the expected exchange rate e^e be?

What are external costs? When external costs are present, will market allocation result in too much or too little output of the good relative to the ideal efficiency level?  

​ What is a public good? Provide an example, and explain why it is a public good.

​ What is a public good? Provide an example, and explain why it is a public good.

Typed answers only

NOTE THIS QUESTION HAS SIX ANSWERS. BE CLEAR WITH YOUR ANSWERS BY LABELING EACH ANSWER.

The table above describes the output per hour worker measured as pounds of catfish and pairs of cowboy boots in Arkansas and Tennessee.

​A) Who has the absolute advantage in producing​ Catfish?

​B) For​ Arkansas, the opportunity cost of one more pound of catfish is​ ________ pair of boots.

​C) For​ Arkansas, the opportunity cost of one more pair of boots is​ __________ pounds of catfish.

​D) For​ Tennesseee, the opportunity cost of one more pound of catfish is​ ________ pair of boots.

​E) For​ Tennessee, the opportunity cost of one more pair of boots is​ __________ pounds of catfish.

​F) Who has the comparative advantage in cowboy​ boots?

Consider two individuals with the same income and probability of experiencing an accident that would cost them $15,000 in medical expenses. The first individual has the utility function U=ln(Y) and the second has the utility function U=ln(Y)+10. How would their willingness to pay for an insurance policy to cover all of their medical expenses differ between the two individuals?

A burger establishment such as whataburger sells a burger for $10 but two burgers for $15. Could this reflect difference in costs? Discuss the conditions under which this could be a type of price discrimination. Why might the restaurant require that each person purchase a meal?

I need informations about the use of next generation sequencing for intellectual disabilities ID

Suppose the expenditure function is e(p, u) = p1 * p2 + 2p1^1/2 * p2^ 1/2 * u. Then ∂e/∂p1 (p, u) = p2 + (p2/p1)^1/2*u and ∂e/∂p2(p, u) = p1 + (p1/p2)^1/2*u

1. (a) Find the Hicksian demand function h(p, u).

2. (b) Find the indirect utility function v(p,w) (this should be a function of w, p1, and p2).

3. (c) Find the demand function x(p, w). Are goods 1 and 2 substitutes or complements?

The recent tariff increases have affected the American economy and have driven supply chains to make quick changes as they scramble to help offset the added costs of importing goods... mainly how these tariffs affect Americans in LUMBER AND STEEL industries.

I need an answer for both industries:

Q1: If I were a major Steel business owner/ producer, why would I care how these tariffs are affecting Supply Chains? (250 words)

Q2: If I were a major Lumber business owner/ producer, why would I care how these tariffs are affecting Supply Chains? (250 words)

Please answer the question to the point. Thank you

• Imagine that you have been hired to advise Qantas on their future after the COVID-19 crisis
• Find evidence of macroenvironmental trends from five PESTN categories (Demographic, Cultural, Economic, Political, Technological, Natural) that are likely to impact Qantas in 2021 (i.e. next year). Remember that each trend should be something external to Qantas. The evidence should be from credible sources.
• How will each identified trend impact on Qantas' business? Is it an opportunity or a threat? Why?
• What action would you recommend to Qantas as a result of your analysis? Ensure that you justify your recommendations.

BestBuy plans to have an end of the season sale on videogames and High Definition TVs. After a focus group study, their marketing team found that they have four different types of customers, each with their own respective reservation price. The reservation prices are as listed below:

For simplicity, assume that the marginal cost for producing any of these products is $0, and there is only one representative customer of each type.

(a) If BestBuy were to sell TV and videogames separately, what price should it set for each product in order to maximize its profit?

(b) BestBuy paid an outside consulting firm about its marketing strategy. The consultant recommended that BestBuy bundle TV and videogame as a package rather than selling them separately. Is the consultant correct? Why or why not? What is the profit of pure bundling? Is it higher or lower compared with the separate selling scenario in (A)? Are customers’ reservation prices of TV and videogames negatively or positively correlated?

(c) Suppose BestBuy has perfect information about the reservation price of each customer. It adopts a first-degree (perfect) price discrimination policy. What prices should it charge to maximize profit? What is the profit under this strategy? Is this higher than the profit in (a) or (b)?

please help Thank you

What makes emerging markets attractive for international business? Discuss emerging markets as target markets, as platforms for manufacturing, and as sourcing destinations.

1. What are some effects of smog?

Provide an analysis of the competitive landscape of Tesla using Porter’s Five Competitive Forces. Structure your answer around:

1. Each of the competitive forces and its impact on Tesla’s business model

2. Ways that information technology is changing the basis of competition and the implications for Tesla.

Think about your place of work, your household or your school. Then, come up with 2 examples of efficiency (i.e, what you/they do well) and explain why you consider it efficient, AND 2 examples of inefficiency (i.e, what you/they do NOT do as well as you are capable of) and explain why it is inefficient. For the inefficiency, explain how you would solve each of those problems (correct the inefficiencies). When you reply to others, offer suggestions, input and advice - maybe you experienced something similar.