What do you believe is the most significant change required in organizational structure as a company makes the shift from a national to a global enterprise? Why? How does this change most significantly influence the marketing of the company's products or services? Explain.
In: Economics
The following diagram presents a circular-flow model of a simple economy. The outer set of arrows (shown in green) shows the flow of dollars, and the inner set of arrows (shown in red) shows the corresponding flow of inputs and outputs.
Based on this model, households earn income when___________________ purchase_______________________ in factor markets.
Suppose Cho earns $525 per week working as work as a flight attendant for Flyaway Airlines. She uses $10 to order a mojito cocktail at Little Havana. Little Havana pays Bob $300 per week to wait tables. Bob uses $125 to purchase air travel to Hawaii from Flyaway Airlines.
Identify whether each of the following events in this scenario occurs in the factor market or the product market.
Event |
Factor Market |
Product Market |
|
---|---|---|---|
Bob earns $300 per week working for Little Havana. | |||
Cho earns $525 per week working for Flyaway Airlines. | |||
Bob spends $125 to purchase air travel to Hawaii from Flyaway Airlines. |
Which of the elements of this scenario represent a flow from a household to a firm? This could be a flow of dollars, inputs, or outputs. Check all that apply.
The mojito Cho receives
The $125 Bob spends to purchase air travel to Hawaii from Flyaway Airlines
The $300 per week Bob earns working for Little Havana
Cho's labor
In: Economics
Give 3 different concepts and examples of macroeconomic policy.Interpret ıt.(200-300 words)
In: Economics
Notice the following model of a bond market. In each situation given, explain what happens to the bond price and yield and why. a) Expected inflation decreases b) The return on bonds falls relative to other assets c) The federal government deficit decreases
In: Economics
Example of Macroeconomic policy tradeoffs? Interpret it.(200-300 words)
In: Economics
Is it impossible to talk about the best macroeconomic policy? İf not why? (200-300 words)
In: Economics
In: Economics
Discuss each of arguments presented below for small local governments units:
For small LG units:
1. Easier communication between citizens and governors
2. More „quasi-market” competition- by „exit”
3. Less people in administration
4. Economies of scale could be achived by PPP
5. More innovative governors and administration
In: Economics
In the country of imagination, we have the following data for the GDP calculation (2015 is the base year):
year |
Price of pizza |
Quantity of pizza |
Price of cheese |
Quantity of cheese |
2015 |
$10 |
250 |
$6 |
200 |
2016 |
$12 |
250 |
$9 |
250 |
In: Economics
Assume a Ricardian model with two countries, Home and Foreign, that both produce coffee and tea. Home has 600 units of labor (L) available. Home’s unit labor requirement in the production of coffee is aLC = 4, while in the production of tea it is aLT = 3. Foreign has 800 units of labor (L*) available. Foreign’s unit labor requirement in the production of coffee is a*LC = 2, while in the production of tea it is a*LT = 1.
a) Assume there is no trade. Moreover, markets are competitive and wages equal marginal productivities.
a1) Determine Home’s production possibility frontier (PPF), i.e., denote QC as a function of QT where QC denotes the output of coffee and QT denotes the output of tea.
a2) Determine the wages that are paid in both sectors in Home. Provide a brief explanation.
a3) What are the equilibrium relative prices of coffee in terms of tea in both countries? Provide a brief explanation.
b) Assume now that there is free trade.
b1) Assume the world relative price of coffee in terms of tea is PTC / PTT= 1.5. Determine the production output of coffee and tea for both countries. Explain how you get to your results.
b2) Assume the world relative price of coffee in terms of tea increases to PTC / PTT = 2. How does your answer to part b1) change? Briefly explain.
In: Economics
With examples, discuss the effect of protectionism trade policies on the socio-economic development of developing countries.
In: Economics
Define and explain the tactical-strategic capacity decisions, capacity utilization and economies of scale. Establish a relationship between those. Use examples.
In: Economics
In: Economics
You are given the following information for a closed economy in a general equilibirum context.
Cd = 5000 + 0.8Y - 80,000r , Id = 1000 - 45,000r.
Md/P = 0.9Y - 4000i , π e = 0.05, G = 450, Y-bar= 1000, and M = 3000.
a) Calculate the general equilibrium values of the real interest rate and the price level.
b) Explain what general equilibrium means in the IS-LM framework and how it is attained.
c) What kind of a shock has the Covid-19 pandemic crisis led to in the economies?
In: Economics
In: Economics