what were the impact and strategies used by Coca-COLA during 2008-2010 financial crisis? what were the strategies used post the recession by coca-cola?
In: Economics
Oliver's PPC crosses the x-axis at (3,0) and the y-axis at (0,3). Claire's PPC crosses the x-axis at (6,0) and the y-axis at (0,12). Group of answer choices
Oliver has a comparative advantage in producing the good represented on the x-axis.
Claire has nothing to gain to trade with Oliver. Claire has an absolute advantage in both goods.
The opportunity cost of producing the good on the x-axis is greater for Oliver than for Claire.
In: Economics
2. Draw the Canadian economy initially in long-run equilibrium at potential GDP of Yp and price level P1. Use that AD/AS model to illustrate the effect of each of the three following separate shocks to the model in the short run.
A) Explain what happens to aggregate output and the aggregate price level.
B) Determine whether the economy faces a short-run recessionary gap or an inflationary gap.
C) What type of monetary and fiscal policies will offset each particular shock to close the gap and return to potential GDP? Expansionary or contractionary? Explain.
In: Economics
Presuming you will make a $500,000 dollar investment into your firm. The machine that you purchased has a life span of 6 years. At the end of 6 years there will be no residual value left to the machine. If the machine will generate $145,000 annually what is your internal rate of return.
Recalculate your Internal Rate of return if the initial investment is $800,000 and investment will generate the following annual revenue.
Year 1 $150,000
Year 2 $125,000
Year 3 $175,000
Year 4 $150,000
Year 5 $120,000
Year 6 $100,000
Please do the calculations through excel.
If the financial institution charges you 4.2% interest should you make the investment? If you are making 1 payment annually during the 6 years what is your annual payment at an interest rate of 4.2%?
In: Economics
a. Why does capitalist tradition matter for workers?
b. What is the role of ethics of capitalism in the pursuit of corporate profit?
In: Economics
Below are some data from the land of milk and honey.
YEAR PRICE OF MILK QUANTITY OF MILK PRICE OF HONEY QUANTITY OF HONEY
2001
$1
100
Qts.
$2
50 qts.
2002
$1
200
$2
100
2003
$2
200
$4
100
1. Compute for each year the following below using 2001 as the base year.
a) nominal GDP
b) real GDP,and
c) the GDP deflator for each year, using 2001 as the base year.
2. Why do economists use real GDP rather than nominal GDP to gauge economic well being?
In: Economics
Select a personal health behavior and describe how it can impact both individual and population health, as well as the costs of health care delivery in the United States. Consider what efforts are being, or could be, made to lessen negative impacts on individuals and populations, as well as on costs.
In: Economics
The bank of Canada is concerned about the current COVID-19 financial crisis and decided to decrease its key interest rate to 0.25%.
a) with the aid of an appropriate diagram show the change in money supply
b) with your understanding of the monetary transmission
mechanism and assuming an open economy how the bank of Canada
actions effect the various components of AD and ultimately the
equilibrium price level and real GDP ?
use the appropriate diagram to help explain your answers
In: Economics
Nebraska Virginia
Wheat 10 4
Cotton 12 6
21) Refer to the table above for the next few questions. Nebraska and Virginia each have 100 acres of farmland. The table gives the hypothetical figures for yield per acre in the two states. Who has the absolute advantage in the production of wheat?
a)Nebraska b)Virginia c) Both of the above d) None of the above
22) Who has the absolute advantage in the production of cotton?
a)Nebraska b)Virginia c)Both of the above d) None of the above
23) Who has the comparative advantage?
a) Nebraska b) Virginia c) Both of the above d) None of the above
24) Who has the comparative advantage in the production of cotton?
a)Nebraska b) Virginia c)Both of the above d) None of the above
In: Economics
Two firms compete in a homogeneous product market where the
inverse demand function is P = 20 -5Q (quantity
is measured in millions). Firm 1 has been in business for one year,
while Firm 2 just recently entered the market. Each firm has a
legal obligation to pay one year’s rent of $1 million regardless of
its production decision. Firm 1’s marginal cost is $2, and Firm 2’s
marginal cost is $10. The current market price is $15 and was set
optimally last year when Firm 1 was the only firm in the market. At
present, each firm has a 50 percent share of the market.
a. Based on the information above, what is the likely reason that
Firm 1’s marginal cost is lower than Firm 2’s marginal cost?
Second-mover advantage
Direct network externality
Learning curve effects
Limit pricing
b. Determine the current profits of the two firms.
Instruction: Enter all responses rounded to two
decimal places.
Firm 1's profits: $ million
Firm 2's profits: $ million
c. What would each firm’s current profits be if Firm 1 reduced its
price to $10 while Firm 2 continued to charge $15?
Instruction: Enter all responses to two decimal
places.
Firm 1's profits: $ million
Firm 2's profits: $ million
d. Suppose that, by cutting its price to $10, Firm 1 is able to
drive Firm 2 completely out of the market. After Firm 2 exits the
market, does Firm 1 have an incentive to raise its price?
No
Yes
e. Is Firm 1 engaging in predatory pricing when it cuts its price
from $15 to $10?
No
Yes
In: Economics
Describe how you would re-create a local government system in California’s metro regions. You do not need to talk about specific regions—focus on general principles that can apply to all major metro areas.
2. What type of relationship should there be between local governments (e.g., competition, cooperation, etc.)?
In: Economics
In: Economics
In: Economics
In the last quarter of 2019, US GDP was approximately $21.0 trillion dollars with an unemployment rate less than 4%. However, with the precautionary steps taken to stop the spread of COVID-19, a significant number of workers were laid off and unemployment climbed significantly. If the unemployment rate does not decline and stays at an average of 15% for an entire year, then the fall in the US GDP is likely to be
Group of answer choices
$3.15 trillion.
$16.4 trillion.
$4.20 trillion.
$4.60 trillion.
In: Economics
What do the basic models of international factor movements between two countries predict with regard to the impact on factors from each country and overall output? In reality are the results the same as would be predicted in this model? If they are different, explain why this is the case.
In: Economics