(Prof. Alfred Marshall) We can define Nat ional Income as t he collective achievement of a nat ion. In t his way‚ t he Nat ional Income is t he aggregat e of t he individual incomes. (Prof. Gardner Ackley) Nat ional Income is t he basic concept of economic‚ which refers t o t he market value of t he goods and services produced during a part icular year. (Prof. Richard Lipsy) CONCEPTS OF NATIONAL INCOme ----1.GROSS DOMESTIC PRODUct Total value of output (goods and services) produced by the factors
Premium Macroeconomics Economics Keynesian economics
THEORATICAL REVIEW: Project manger is expected to select the the project which is benificiary to the organization. Cost benefit anlysis is done by the project manger. It is highly unlikely that project manger select the the project whose cost exceeds its benefits. Benefits can be measured either finacial or non-finacial. The puposuse of idetifying the financial benefits is called copital budgeting‚ which may be defined as decision making process by which organization evaluate the projects that
Premium Net present value
Applied Business Economics | | | 1. Why is the price of a cup of Starbucks coffee rising? The price of a cup of Starbucks coffee was rising when the article was written (in 2006) as North America was going through an economic incline; this gave people more money to spend. When people have more money to spend the demand for normal goods (such as Starbucks Coffee) increases. When demand increases the price also increases. The demand increase (and subsequent price increase) can also be
Premium Supply and demand
All Rights Reserved 2– 2 CLASSIFICATION OF GOODS AND SERVICES Free goods are goods that have no production cost. Public goods are goods that are for common use and will benefit everyone. Economic goods are goods of value that can be seen and touched. Economic services are intangible things (with value) that cannot been seen or touched. All Rights Reserved 2– 3 LAW OF DEMAND Law of demand states that the higher the price of a good‚ the lower is the quantity
Premium Supply and demand Consumer theory
THE FIRM’S BASIC PROFIT MAXIMIZATION PROBLEM Chapter 2 slide 1 What Quantity of Output should the Firm Produce and Sell and at What Price? The Answer depends on Revenue and Cost Predictions. The Solution is Found using Marginal Analysis. Expand an Activity if and only if the Extra Benefit exceeds the Extra Cost. MAXIMIZING PROFIT FROM MICROCHIPS 2.2 A1. Focus on a single Product‚ A2. whose Revenues and Costs can be predicted with Certainty. Revenue can be predicted using the Demand
Premium Economics Costs Variable cost
Test #2 Practice Test #2: Answer Key Exam number 2 will take place on Monday‚ April 8th‚ 2013. This‚ the second of two practice exams‚ will be the subject of class on Wednesday. It will not be graded‚ but will serve only as practice material accurately representing the content and format of the exam. 1.) Walter used to work as a high school teacher for $40‚000 per year but quit in order to start his own painting business. To invest in his painting business‚ he withdrew $20‚000 from his savings
Premium Costs Perfect competition Economics
PAPER ON EFFECTS OF MARKET STRUCTURE OF AN INDUSTRY ON THE CONDUCT AND PERFORMANCE OF A FIRM This paper provides an overview of telecommunications industry in Kenya and discusses how structure of the industry can affect the conduct of a firm within an industry and also explores how market structure and conduct of the firm affect the firm’s performance. It also offers some ideas regarding the future of the telecommunications sector in Kenya. Introduction Kenya ’s earliest telecommunications connections
Premium Mobile phone Telephone company Mobile network operator
Characteristics of rural India: Few of the points that can be easily inferred from the case are- 1) This is a monopolistic market. This can be inferred by the fact that there exist a perfect substitute for the product to be launched‚ although not as a one-to-one substitute but in form of ‘bath soap’ and ‘washing soap’. 2) There already exist a number of local soap brands in form of Anarkali ‚ Chand ka Tukda‚ Heroine etc. and a number of local detergent cake brands in form of Ajooba‚ Chamatkar
Premium Marketing Economics Cost
Chapter 5: Question 3: Suppose that two units of X and eight units of Y give a consumer the same utility as four units of X and two units of Y. Over this range: a. If the consumer obtains one more unit of X‚ how many units of Y must be given up in order to keep utility constant ∆Y∆X=2-84-2= - 62= -3 ~ Utility unchanged‚ if consumer exchanges 3 units of Y for 1 unit of X. b. If the consumer obtains one more unit of Y‚ how many units of X must be given up in order to keep
Premium Consumer theory
On December 9‚ 1941‚ Maurice was born in Memphis‚ Tennessee‚ a major city with a history‚ deep in the music industry. He lived in the South Memphis projects with his father Verdine‚ who was a doctor‚ his older brother‚ Verdine‚ and a friend of the family‚ Booker T. Jones. When he was a teenage boy‚ the family moved to the South Shore section on the South Side of Chicago. After Maurice graduated from high school‚ he attended Crane Junior College‚ and as his love of music grew‚ he went to the Chicago
Premium Family Father English-language films