Comparative advantage In economics‚ comparative advantage refers to the ability of a party to produce a particular good or service at a lower marginal and opportunity cost over another. Even if one country is more efficient in the production of all goods (absolute advantage in all goods) than the other‚ both countries will still gain by trading with each other‚ as long as they have different relative efficiencies.[1][2][3] For example‚ if‚ using machinery‚ a worker in one country can produce both
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Law of Diminishing Returns The Law of Diminishing Returns says that when some inputs are fixed in capacity in the short run‚ increasing the variable input working with the fixed inputs would first lead to increasing additional output per additional unit of variable input‚ but eventually decreasing additional output per additional unit of variable input after the optimal capacity of the fixed input has been exceeded. Let’s look at a simple short-run production process where there is a fixed input
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OPERATING RETURN ON ASSETS (OROA) Year | 2007 | 2008 | 2009 | 2010 | 2011 | Public Bank Berhad | 1.96% | 2.01% | 1.84% | 2.09% | 2.08% | RHB Bank Berhad | 1.89% | 2.09% | 1.93% | 1.98% | 1.70% | Operating return on assets (OROA) ratio is measure of the return earn by a firm operations divided by total assets. The operating return on assets indicates how much will return earned by a firm operation for every RM1 of the total assets. Public Bank Berhad generated RM0.0196 of operating profit for
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FLIRTING WITH RISK December 10 2012 Lecturer; Murat ERTUĞRUL Students ; 1.Enver ÖZTÜRK 18230741938 2.Erdinç ANAY 23326952518 3.Ramadan YALÇIN 38051102954 4. Demet BARIŞ 17492112456 FLIRTING WITH RISK 1. Imagine you are Bill. How would you explain to Mary the relationship between risk and return of individual stocks? As the risk increases the potential return increases as well. In order to get higher returns one needs to invest in riskier assets. In
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English 1302 October 11‚ 2012 Departure‚ Initiation‚ and Return in Jorge Luis Borges’ “The Garden of Forking Paths” At first glance‚ Jorge Luis Borges’ short story‚ “The Garden of Forking Paths‚” tells the tale of a Chinese agent for the Germans against the English during the first World War. In this short story‚ Yu Tsun (the spy) learns that a fellow agent has been eliminated. This means that he will undoubtedly be the next to be arrested and killed. This will probably happen before
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resources to the environment in which it operates. This essay will analyse the micro and macro external environment in the part five years (2000 to 2006) of IBM Company by using PESTEL and five forces model to analyse in the first part. The second part will discuss about the advantages and disadvantages of the two possible alternative strategies for IBM. Part 1: Analysis of Micro and Macro External Environment 1.1 PESTEL Analysis The external factors can be divided into six broadly categories which
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Avoiding Historical Distortion: An Analysis of Davis’s Writing In a country renown for revolution‚ a time of looming reformation‚ and an age of rebirth‚ the story of The Return of Martin Guerre finds its inception as a historical legal study of the day-to-day occurrences of the lives of peasants in sixteenth-century France. Natalie Zemon Davis crafts her account of the famous story from a historical perspective infused with her own psychological inferences‚ legal case studies‚ and factual details
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THE EMINENT RETURN OF CHRIST This has really raised a lot of questions in the hearts of many. When we talk about the return of a person‚ then it means that such a person has come before and yet to come again as being expected by those who know of him. The return of Christ is what many believers have always waited for and this has gone a long way to pattern their lifestyles because of the cost thereof. Before one can wait for a person‚ then such a person must have known and experienced whom he is
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of the question 10 marks (paper 2) 20 minutes on it Explain the law of diminishing returns using average and marginal product curves Definition Law of diminishing returns refer to how the marginal production of a factor of production starts to progressively decrease as the factor is increased‚ in contrast to the increase that would otherwise be normally expected. Triple A Law of diminishing returns – as more and more of a variable factor is added to a fixed factor‚ output will rise initially
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40) Consider the following statements when answering this question; I. Whenever the marginal product of labor curve is a downward sloping curve‚ the average product of labor curve is also a downward sloping curve that lies above the marginal product of labor curve. II. If a firm uses only labor to produce‚ and the production function is given by a straight line‚ then the marginal product of labor always equals the average product of labor as labor employment expands. A) I is true‚ and II is
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