What/how will financial institutions change going forward to get the US economy back on track after the coronavirus?

Every month you spend $1, 500 on education and the rest of your income is used for the consumption of other goods. On the unforeseen circumstance of COVID-19, the government ensures no change in your income through a cash transfer to your nominated bank account. At the same time, the university provides you a $1000 voucher to use for your education expense only. If your preference pattern satisfies all textbook assumptions, in a diagram, show the effect of the voucher on your optimal consumption. If, instead of a voucher, the university provides you a cash transfer of the same amount to your bank account, will you be better off? How will your answer be different if your education expense is $900 instead of $1,500? Explain in the diagram.

write on the growth of sharing economy and its impact on traditional business models.

Consumer purchase decision process includes five stages, from need recognition to post – purchase evaluation. Please identify the level of consumer involvement for the following products (companies), and show which stages of DMP consumers go through when they consider purchase.

1. Soft drink
2. Tiffany Jewlry
3. Cronenberg Beer
4. Airlines for business trip
5. Job for your career
6. Rolls Royce
7. Breakfast cereal

In the OSC Case, learned that the real thing OSC tried to sell was recipes. Please discuss both inbound and outbound sales promotion programs for marketing recipes

Based on your viewing of the module on International Trade, answer the following question:

If you buy an American car, is it truly an "American" car. Why or why not?

1. Give two reasons why we should globally transition to renewable energy?

2. Economists affirm that economic growth is not only feasible but also desirable and that the planet will not run out of natural resources if we put in place a proper price mechanism. Please give a precise example of how the price mechanism will work to avoid running out of a given resource.

3. Do you expect oil prices to reach the level of $80 to $100/barrel in the future? Please support your explanation with clear arguments.

4. Several countries are progressively shifting to Electric Vehicles (EVs). Can you please give reasonable explanation why this is happening?

Explain the advantages and disadvantages of having the Federal Reserve Bank being largely independent from the executive and legislative branches of government?

Suppose you plan to reduce carbon emissions by a total of 384 units. Assume that we have 3 polluting firms and q1, q2, and q3 are, respectively, the amount of pollution removed by each company that you choose to use so that the goal will be accomplished by any combination of methods such that q1 + q2 + q3 = 384. If the marginal costs of each removal method are, respectively, MC1 = $10 + $5q1, MC2 = $5 + $10q2, and MC3 =  $5 + $20q3.

Question 1

Suppose an ambient standard is used, and each firm is asked to reduce its emissions by 128 units. Is this an economically efficient outcome? Why/Why not?

Question 2

How much should each firm reduce pollution by to achieve the pollution reduction cost-effectively?

Which of the following experiments would most cleanly allow you to provide evidence that ambiguity aversion occurs?

If an experiment requires people be randomly assigned to two groups, A describes what task/choice you've given to group A, and similarly for B.

The Special Coin refers to a special weighted coin is introduced that flips heads with an unknown probability. However, if a Special Coin is flipped *after another coin*, it has a 75% chance of showing the opposite answer of the first flip. So if you flip two Special Coins, and the first flip is H, there's a 75% chance the second flip is T.

Select one:

a. A: Choose between winning $10 if a regular coin flips heads, or winning $10 if the Special Coin flips heads.
B: Choose between winning $10 if flipping a Special Coin and then a regular coin gives HT (since the Special Coin went first, its special 75% thing doesn't matter), or winning $10 if flipping a Special Coin twice gives HT.

b. Choose between winning $10 if a regular coin flips heads, or winning $10 if two Special coins flip HT

c. A: Choose between winning $10 if a regular coin flips heads, or winning $10 if the Special Coin flips heads.
B: Choose between winning $10 if the first two flips of a regular coin are HT, or winning $10 if the first two flips of the Special Coin are HT.

d. A: Choose between winning $10 if a regular coin flips heads, or winning $10 if the Special Coin flips heads.
B: Choose between winning $10 if you flip two Special Coins and then a regular coin and get HTH, or winning $10 if you flip three Special Coins and get HTH.

Summary

Wal-Mart’s stock tumbled on the news that the company was investigating possible violations of the Foreign Corrupt Practices Act. According to information leaked to the press, Wal-Mart may have been bribing Mexican government officials in order to gain the zoning approvals it needed to build stores in the country. What makes the story especially interesting was the fact that the company appears to have known about the violations for several years, yet seemingly chose to do nothing.

While Wal-Mart had no legal obligation to disclose the fact that it was looking into the situation some years ago, analysts agree that the company had an ethical responsibility to make some disclosure, particularly given that the retail giant seems to have done little with the knowledge of a potential violation. Investigators will be looking to see whether the company gained an unfair competitive advantage as a result of its illegal activity.

If the company is found to have violated the Foreign Corrupt Practices Act it could face fines, and possibly have to return some of the profits it earned as a result. In addition, because it seems that top level executives were aware of the bribes when they occurred, there could be further penalties. Wal-Mart’s current CEO, Mike Duke, was head of Wal-Mart International at the time of the bribes.  

Discussion Questions

1. If the allegations against Wal-Mart prove to be true, the company will certainly be penalized for its illegal behavior. Consider, though whether the Foreign Corrupt Practices Act puts U.S. firms at a competitive disadvantage in foreign markets. Does it actually encourage unethical behavior by firms?

2. Is it ethical for U.S. lawmakers to prohibit bribery in foreign markets? What are the implications of the Foreign Corrupt Practices Act on employment and economic development in countries like India and Mexico?

3. Suppose you are a U.S. supplier to Wal-Mart Mexico. Do you agree with the Foreign Corrupt Practices Act? How does it affect you? Do you feel that U.S. lawmakers have the right to limit the activities of U.S. firms in foreign markets?

Please answer it in your own words .

What New-product pricing strategy is most appropriate for Airpod-Studio? Outline the conditions within the high-end headphones market that will favour or hinder the use of this strategy for the new Airpod-Studio. What are the implications of this strategy for other headphones in Apple’s product line?

During the first week of lockdown, you decided not to spend more than $30 on your food. You ate only hotdog with burger bread, and that also in a 1:1 combination, and nothing else. The prices of both these goods were $1 per unit. Find out the optimum amount of hotdog and burger bread you consumed that week. In the second week, due to lack of supply the price of hotdog increased to $2 while the price of burger bread did not change. How many hotdogs and burgers bread did you consume in the second week? Explain the income and substitution effects of this price change using a diagram

Discuss each question in 1-2 paragraphs. Answer the questions in “answer and question format”, that is, when you are posting, include both the questions and your answers.

1. What are some challenges associated with working conditions in a globalized economy that effect US workers?