All of the questions are designed as if you are getting readyto open up a fitness center.
1) What type/s of segmentation basis will you use to divide the total market in the most reasonable and realistic way? Do you think the best segmentation is done on one basis or multiple basis?
All of the questions are designed as if you are getting readyto open up a fitness center. 2) Form THREE segments (groups of people) by giving them specific segment name, explain them in 2-3 sentences with different demographic and/or behavioral characteristics?
In: Economics
The public sector and the financial institutions are primarily seen as gatekeeper in the circular flow of income in an economy. Based on the statement above, do you agree or disagree that they both play the role of an unbiased referee to the economy circular flow of income?
Be sure to give reasons and supporting evidence for your position.
In: Economics
A firm sells a product in a perfectly competitive market, at a price of $50. The firm has a fixed cost of $30. Fill in the following table and indicate the level of output that maximizes profit. How would the profit-maximizing choice of output change if the fixed cost increased from $40 to $60? More generally, explain how the level of fixed cost affects the choice of output
Output | Total Revenue | Total Cost | Profit | Marginal Revenue | Marginal Cost |
0 | |||||
1 | 50 | ||||
2 | 20 | ||||
3 | 30 | ||||
4 | 42 | ||||
5 | 54 | ||||
6 | 70 |
In: Economics
In: Economics
Question 1
What does a vertical supply curve of money indicate?
a. |
It indicates that the larger the supply of money, the higher the interest rate, all things equal. |
|
b. |
It indicates that the quantity of money supplied depends on the interest rate. |
|
c. |
It indicates that the lower the interest rate, the higher the opportunity cost of holding assets in the form of money. |
|
d. |
It indicates that the quantity of money supplied is independent of the interest rate. |
Question 2
Suppose the Bank of Canada is targeting the interest rate when the demand for money increases. What is the proper monetary response in terms of the money supply?
a. |
stimulate inflation to increase the demand for money |
|
b. |
increase the money supply |
|
c. |
keep the money supply constant |
|
d. |
decrease the money supply |
Question 3
Suppose the money supply equals $1,000 and nominal GDP equals $3,000. What does V equal?
a. |
1/3 |
|
b. |
3 |
|
c. |
300 |
|
d. |
3,000 |
Question 4
Suppose the dollar price of British pounds drops. What does this mean?
a. |
that fewer dollars are needed to buy British pounds |
|
b. |
that more dollars are needed to buy British pounds |
|
c. |
that the euro has appreciated |
|
d. |
that the dollar has depreciated |
Question 5
Which theory says that in the long run the exchange rate between two currencies should move toward equalizing the cost in each country of an identical basket of internationally traded goods?
a. |
the Big Mac Index (BMI) theory |
|
b. |
the consumer price index (CPI) theory |
|
c. |
the purchasing power parity (PPP) theory |
|
d. |
the foreign exchange equalization (FEE) theory |
Question 6
What does a nation’s merchandise trade balance reflect?
a. |
trade in intangible products |
|
b. |
trade in tangible products |
|
c. |
value of imports |
|
d. |
value of exports |
In: Economics
Use the Mundell-Fleming framework to show and explain how effective monetary policy and fiscal policy is, in raising output, in the following cases in the presence of imperfect capital mobility:
(i) fixed exchange rate
(ii) flexible exchange rate.
Be sure to clearly explain your graphs and the various shifts that occur.
In: Economics
Mr. Bronson wants to be one of the investors in the new Sergio Leone movie called The Good, The Bad and The Ugly. He needs to borrow $1580000 from a bank at an interest rate of 6.9% compounded quarterly to invest in this movie. The loan will be repaid in 27 equal monthly payments. His first payment will be made one month after the day he borrows the money (i.e. at the end of month one.
In: Economics
What is the coefficient of demand elasticity for the Apple watch? Is this elastic or inelastic? How do you interpret that coefficient? (Use $349 and $299 in your calculation). The quantity associated with $349 is 177,200. The quantity associated with $299 is 297,200.
In: Economics
1. Consider the following scenario. What will happen in the loanable funds market and the foreign exchange market?
In a small open economy, the government engages in a trade war and puts an import quota on steel.
2. Explain the effects of capital flight on the loanable funds market and foreign exchange market.
In: Economics
Suppose the U.S. government announces that it will bring the federal budget deficit to zero, over the next ten years, with no change in tax rates. Describe the effects of such a policy according to the three business cycle models, assuming that the policy is fully credible
In: Economics
Chapter 16: Briefly explain the “Consumption Puzzle”. What solutions have been proposed to solve it and to what extent they have been successful? Discuss.
Chapter 17: Briefly explain the “efficient markets hypothesis”. What criticisms have been levelled against it? Discuss.
Chapter 18: Should policy be active or passive? Discuss by considering alternative perspectives
In: Economics
How can China's GDP of development promote policy recommendations? Explain
In: Economics
1, Which of these is NOT a component of the Business Model?
A) The value proposition
B) The target market
C) the competition
2, Wang, Digital, Data General, Prime, and other computer companies were all created in northeastern Massachusetts! They felt that computing was professional and not personal. Computers were to be controlled by operators and not end-users. These minicomputer makers failed to see how the microcomputer would make computing ubiquitous. None of them exist today. We refer to their reason for failure as:
A) Utterly unsound economics
B) A business concept blind spot
C) An inability to compete with larger customers
D) Loss of key leadership when the founders retired.
D) the revenue sources
E) all of the above are components of the business model.
In: Economics
1. Please explain how creation of new needs (artificial needs) in capitalism opposes the real needs of humans and nature. Please also relate constant creation of new needs with coronavirus pandemy.
In: Economics
Consumption = C, Taxes = T, Investment Demand = ID, Disposable Income = Y-T, Govt. Purchases of Goods and Services = G Aggregate Expenditure = AE, the MPC is constant, Foreign trade is zero. In case you care, autonomous consumption = $40.
AS = Y |
T |
Y-T |
C |
ID |
G |
AE |
d(Inventories) |
$9,500 |
$200 |
$8,875 |
$285 |
$400 |
|||
$9.900 |
$200 |
$9,255 |
$285 |
$400 |
|||
$10,300 |
$200 |
$285 |
$400 |
||||
$10,700 |
$200 |
$285 |
$400 |
||||
$11,100 |
$200 |
$285 |
$400 |
||||
$11,500 |
$200 |
$285 |
$400 |
||||
$11,900 |
$200 |
$285 |
$400 |
a. How much of a change in taxes would be needed to raise equilibrium aggregate expenditure by $1,200?
b. For the previous problem, how much of that rise in equilibrium income would be the result of induced consumption?
c. Investment Demand falls by $50 and taxes are reduced by $100. What is the change in total equilibrium output?
In: Economics