BEC 1034 MICROECONOMICS TUTORIAL 1 (Chapter 1: Ten Principles of Economics) 1. The phenomenon of scarcity stems from the fact that a. most economies’ production methods are not very good. b. in most economies‚ wealthy people consume disproportionate quantities of goods and services. c. governments restricts production of too many goods and services. d. resources are limited. 2. "There is no such thing as a free lunch‚" is used to illustrate the principle that a. goods are scarce. b. people face
Premium Economics
is at max point Managers take production right up to the point where TC=TR; if they can [2] Oligopolies can benefit most from going past the profit maximising output because it gives them a market share advantage over their competition. The economic climate can affect managers’ ability to deploy this tactic. If a recession is on the cards then shareholders will be anxious and keeping them and profits high will be a priority to which managers must abide to keep their position. The Downsides:
Premium Microeconomics Profit Marketing
elasticity of demand Inelastic demand curve will be less than 1 Inelastic demand curve will be less than 1 Elastic demand curve will be greater than 1 Elastic demand curve or Kinked demand curve will be greater than 1 Is there a presence of economic profits? No Yes Yes Yes Introduction: Printing is one of the most highly competitive industries in America today there are literally thousands of printers in the United States‚ they range from a small mom and pop operation to multinational
Premium Monopoly Perfect competition Competition
BRIBERY SCANDAL AT SIEMENS AG Abstract: This case discusses the bribery scandals that were unearthed at Siemens AG (Siemens) in 2006 and 2007. There were a series of scandals that involved some of the company’s employees bribing foreign officials to gain contracts and creating slush funds for this purpose. In another case‚ the company was accused of bribing labor representatives on the supervisory board in order to gain their support for its policies. After the German authorities conducted raids
Premium Germany Deutsche Telekom
Question 1: What is the significance of the pollution from plastic bags? What is the scale of this pollution problem compared to other forms of pollution? Answer: Pollution from plastic bags or bottles has involvement from the accumulated products made of plastic which in turn adversely affect the environment which consists of wildlife‚ and humans. It can affect lands‚ waterways like oceans and rivers. The biggest prominent factor for usage of plastic bags is due to inexpensiveness and durability
Free Pollution Waste
whether or not firms are price takers Question 7 10 out of 10 points In economic analysis‚ any amount of profit earned above zero is considered "above normal" because Answer Selected Answer: this would indicate that the firm ’s revenue exceeded both its accounting and opportunity cost. Correct Answer: this would indicate that the firm ’s revenue exceeded both its accounting and opportunity cost. Question 8 10 out of
Premium Economics Costs Perfect competition
exchange rate is said to overshoot when its immediate response to a disturbance is greater than its long-run response. Exchange rate overshooting is an important phenomenon because it helps explain why exchange rates move so sharply from day to day. The economic explanation of overshooting comes from the interest parity condition. Question 4 (a) Using the AA/DD framework‚ explain the separate effects of a temporary monetary expansion and a temporary fiscal expansion on the exchange rate‚ output and
Premium Money supply Economics Inflation
gaps in income levels may have had a hand as well. Numerous factors have led to the protests‚ including issues such as dictatorship or absolute monarchy‚ human rights violations‚ political corruption (demonstrated by Wikileaks diplomatic cables)‚ economic decline‚ unemployment‚ extreme poverty‚ and a number of demographic structural factors‚ such as a large percentage of educated but dissatisfied youth within the population. Also‚ some - like Slovenian philosopher Slavoj Žižek - name the 2009–2010
Premium Middle East North Africa United Arab Emirates
Analyse the effects of changes in the exchange rate of the Australian dollar (against other currencies) on the Australian economy. Fluctuations in the exchange rate of the Australian dollar can have significant implications on the Australian economy. The exchange rate is the price of one currency in terms of another economy’s currency. Typically in the case of Australia‚ the Australian dollar is measured in terms of the US dollar. Changes in the exchange rate‚ whether the alteration is an appreciation
Premium Macroeconomics Investment Economy of Australia
ECO 252 -- HW 9 Questions 1. Which of the following events would cause a decrease in the equilibrium interest rate in the short-run money market? For each event‚ simply state YES or NO. a. The price level increases‚ Ceteris Paribus. b. The FOMC conducts open market sales of existing bonds‚ Ceteris Paribus. c. The aggregate demand shifts to the left‚ Ceteris Paribus. d.The Fed increases the required reserve ratio‚ Ceteris Paribus. e. The Fed increases the money supply‚ Ceteris
Premium Supply and demand Macroeconomics Monetary policy