THE IMPORTANCE OF MICROECONOMICS 1. New Businesses o Entrepreneurs create businesses by purchasing and utilizing factors of production. In order to estimate the potential return on investment (ROI) of those factors of production‚ entrepreneurs must have a basic grasp of microeconomic concepts: supply‚ demand‚ cost‚ profit. Without such a grasp‚ it is impossible to know how much a particular good can be sold for in a particular area. Furthermore‚ without a grasp of costs and earnings
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1.0 Introduction A company geared for success and profitable growth needs a foundation of values‚ expertise and experience that encompasses both its history and the people who make it what it is: the company’s employees‚ shareholders and customers. And there will have statistics from the annual report and also the analysis. This report will help you on the financial analysis of David Jones Limited. We are using the annual report of 2012 to check whether or not it is a safe and reasonable for investor
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GE273 Week 5 Good Provision and Agents Task 1: Consider the following list of goods. For each good‚ explain the following point List of Goods: A cup of coffee at a coffee shop‚ Public Good‚ the private market should provide this good B City fire protection‚ Public Good‚ government should provide this good C Polar bears in the Arctic‚ Common Resource‚ this characteristics of the good would make it difficult to be provided by the private market or the government D Clean air‚ Common
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croChapter 1: A tour of the world 1.1 THE EUROPEAN UNION When macroeconomists study an economy‚ they first look at three variables: * Output – the level of production of the economy as a whole – and its rate of growth. * The unemployment rate – the proportion of workers in the economy who are not employed and are looking for a job. * The inflation rate – the rate at which the average price of the goods in the economy is increasing over time. The economic performance of European
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Public justification of regulatory actions by the government appears to be based on private monopolization fear of an economic activity area. There are several available regulatory options. In Australia‚ the common approach is creating a monopoly that is owned by the government‚ which is assumed to act in the interest of the public. The Australia’s Two-Airline policy consists of two firms‚ which function within an industry with barriers of entry. One firm is government owned (Trans-Australia Airlines)
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Part 1 : Demand For Goods and Services Definition of demand Classification of Goods and Services Law of demand Factors That Influence Demand (Determinants of demand) Definition of demand One of the definition of demand is known as the desire to buy goods and services with the ability to pay at a given time period. Classification of Goods and Services From conventional Economic Perspective: i) Free goods – zero production cost. i.e. rain water and air ii) Public
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CHAPTER 1 INTRODUCTION 1.1 DISCIPLINE OF ECONOMICS THEORY There are two different categories concerning economic behavior‚ the micro economics and macro economics. Micro economics The study of economic behavior of individual making units such as producer‚ consumer‚ household‚ and firms. Macro economics The study of economic system as a whole or on the basis of aggregate such as consumer price index‚ inflation rate‚ national income and unemployment level. 1.2 DEFINITION OF ECONOMICS
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EXERCISES Exercise 3-1 (20 minutes) a. Long-term debt [46] A 13.99 B 9.125 G -9.7 H 805.8 beg 7.5 C 9.0 D -0.17 E 8.875 F 14.8 I 772.6 end A = Retirement of 13.99% Zero Coupon Notes. B = Repayment
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I True or false.（2points*10） 1. If Good 1 is on the horizontal axis and Good 2 is on the vertical axis‚ then an increase in the price of Good 1 will not change the horizontal intercept of the budget line. 2. Henrietta’s utility function is U(x1‚ x2) = x1x2. She has diminishing marginal rate of substitution between goods 1 and 2. 3. Other things being equal‚ a lump sum tax is at least as good for a consumer as a sales tax that collects the same revenue from him. 4. Sharon spends all of her income
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3rd Edition‚ June 2005 Eric Doviak Principles of Microeconomics on the Lecture Notes Preface Microeconomics is the study of the behavior of individual households‚ firms and industries as well as the supply and demand relationships between producers and consumers. You might think of a household as a consumer‚ but households are also producers. For example‚ take a look at your kitchen: you take raw materials (meat‚ cheese‚ vegetables‚ eggs‚ salt and pepper) as well as capital
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