Adam Smith (1776) was the first proponent of the economic value of education. He emphasized on how education helps to increase the productivity of the labour force in various ways‚ including both general education and technical training. He was the one who introduced for the first time the concept of human capital. Later other well known economists (Malthus‚ 1798; Mill‚ 1848; Marx‚ 1878; Marshall‚ 1890; Schumpeter‚ 1934; Harrod‚ 1939 & Domar 1946; et al) placed special attention to the economic growth
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1. I believe that Airbus would have become a viable competitor without subsidies‚ although it would have taken significantly longer. By merely introducing an alternative would have gained new customers as competition not only forces the competitors to produce better products‚ but it drives prices down. Customers like to have options. Because of the enormous cost required to develop an airliner‚ the government subsidies helped Airbus to bring to market its alternative to Boeing’s offerings sooner
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1. Define the term Free Trade: The absence of barriers to the free flow of goods and services between countries. 2. What does this chapter look at? -The political reality of IT -It presents us with a clear example of government intervention in IT that is designed to protect the interests of domestic producers. -The political and economic reasons tha government have for intervening in IT. (when govs. intervene‚ they often do so by restricting imports of goods and services into their nations
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9.0 Entry Strategy 9.1 Introduction Entry strategy is about the decision to enter which foreign market‚ when in what scale and regarding the choice of entry mode. In our case we have already decided to enter the UK market and offer our products to a selected niche initially. It is the case of entry mode we should address in this chapter. The various modes to enter foreign markets are vast. A few popular methods are‚ exporting‚ licensing or franchising to host country firms‚ establishing
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Retail currently accounts for 3% of the total revenue of CT. A four-fold increase in revenue for the retail business is envisaged in the next 5 years. Subsidy Policy: Fertilizer being an essential commodity‚ is a completely regulated market. Over the last few years‚ the fertilizer industry has seen many changes in the freight subsidy po licies. Earlier government completely reimbursed freight cost incurred by rail movement while road movements (both primary and secondary) were reimbursed
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menu. ¨ Hidden Fees ¨ Able to promote low per minute prices‚ but still collect additional revenues Acquisition costs ¨ Advertising per gross add: from $75 to $100 (p.5) Sales commission paid per subscriber: $100 (p.5) Handset subsidy provided to the subscriber: $100 to $200 (p.9) Total: from $275 to $405 ¤ ¨ ¨ ¨ (let’s assume somewhere in the middle = $370) Break Even point Monthly ARPU (average revenue per unit): $52 (p.3) ¨ Monthly Cost-to-Serve: $30
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INTERNATIONAL ECONOMICS Chapter 2 THE GRAVITY MODEL Suggest the trade between any two countries is proportional to the size of the countries (product of their GDP’s) and diminished with distance between the countries. 3 of the top 10 trading partners with the U.S. in 2005 were also the 3 largest European economies: Germany‚ UK‚ and France. These countries have the largest gross domestic product (GDP) in Europe. * GDP measures the value of goods and services produced in an economy. In fact‚ the size
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Boeing versus Airbus 1. Do you believe Airbus could have become a viable competitor without subsidies? Given the competitive dynamics in the commercial aircraft industry‚ it is not likely that Airbus could have become a viable competitor without subsidies. These dynamics include investment costs in the billions for research and development of a new airliner‚ long break-even times‚ significant experience curve on the manufacturing side‚ and the highly volatile demand for aircraft. Due
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Chapter 3 Social Studies ( Healthcare ) - HARD TRUTHS / FACTS Medical costs are on the rise (Today if you see a doctor for $30‚ it may rise to $40 after a couple of years) Rise in flu epidemics (more and more viruses are now IMMUNE to the antibiotics) More cases of chronic illnesses like Diabetes‚ Kidney failures‚ Cancer Most treatments require follow-ups - Case study Mr Lim is a 67 year old patient who suffered from cardiac arrest. He is warded in Changi General Hospital for one week at
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000 21‚000 22‚000 c. What is the socially optimal number of years of education? a. 16.5 years d. You are in charge of education funding. Would you use a Pigouvian tax or a Pigouvian subsidy to induce Sian to choose the socially optimal amount of education? Justify your answer. a. Subsidy to increase Sian’s marginal benefit‚ so Sian would be motivated to chose the socially optimal amount of education while profiting more. e. How high would you set
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