explain the difference between diminishing marginal returns and decreasing returns to scale. explain the difference between diminishing marginal returns and decreasing returnsto scale.Both these concepts are distinct as they apply in different situations.Diminishing marginal returns…
When McDonald’s Corp. reduced the price of its Big Mac by 75% if customers also purchased French fries and a soft drink, The Wall Street Journal reported that the company was hoping the novel promotion would revive its US sales growth. It didn’t. Within two weeks sales had fallen. Using your knowledge of game theory, what do you think disrupted McDonald’s plans?
5 true/false question do carefully thanks 1.In the monopolistic competiton model, the firm’s demand curve is a horizontal line. 2.If a two monopolists agree to collude, this will increase the allocative inefficiency in the market. 3.The standard economic view of monopolistic competition is that, it is inefficient, since the choice and variety of different types of products confuse consumers. 4.If firms in an industry have […]
Assume there is a decrease in U.S. interest rates relative to that of Britain.(a.) Would this event cause the demand for the dollar to increase or decrease relative to the demand for the pound? Why? (d.) If you had a business exporting goods to Britain, and U.S. interest rates fell as they have in this example, would you plan to expand production or cut back? […]
4. The cost of capital for a firm, rWACC, in a zero tax environment is: A) equal to the expected EBIT divided by market value of the unlevered firm. B) equal to ro the rate of return for that business risk class. C) equal to the overall rate of return required on the levered firm. D) all of the above. E) none of the above.
“Fluctuations in exchange rates, other things remaining the same, creates a situation in which money buys the same amount of goods and services in different currencies.” What does the previous statement describe? Will these fluctuations occur in the short run or the long run?
A firm with market power in pricing faces a: A flat demand curve.B vertical demand curve in all cases.C price inelastic demand curve.D downward sloping demand curve.As a firm’s market power in pricing decreases, the price elasticity of its demand: A stays the same.B decreases.C is equal to one.D increases.
1. Explain the impact in world trade of the so-called ‘decline of the middle class’ in the developed world. 2. Provide examples of organizational management in preparing its human resources for international business and functioning in the global economy. 3. Provide examples of organizational management in dealing with operations in worldwide locations with sharp socio-economic inequalities.
What factors might contribute to a low level of productivity in an economy? Compare these to the rapid productivity growth experience by the United States during the 1990s. What factors might contribute to a low level of productivity in an economy? Compare these to the rapidproductivity growth experience by the United States during the 1990s.Low productivity can be…
A firm is producing 1,000.units of output with 40 units of labor and 30 units of capital. The marginal product of the last unit of labor and capital are, respectively, MPL= 60 and MPK =120. The prices of labor and capital are, respectively, w =3= and r = 40. a. At the combination of inputs the MRTS is ________________( greater than, less than, equal to) […]
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more