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Privatization can be defined as "the process of returning to the private sector property or functions previously owned or performed by government". The basic idea is that there may be some services that the government is providing right now that the private sector might handle better. Sometimes the government no longer provides the service and allows private companies to run (and compete with each other) to provide the service (like sometimes happens with garbage pickup). Other times the government contracts with a company that can provide the service cheaper than the government agency could (like when a city contracts with a private landscaping company to trim the trees on public sidewalks). The idea is to have a more efficient, more effective service. Recently there have been some arguments that the United States Postal Service (USPS) should be privatized.
The discussion question(s) is:
Name one pro and one con of privatizing the USPS.
If you had the power to privatize the USPS, would you? Explain your response.
Explain what action should be taken in terms of adjusting output if it is determined that marginal cost is greater than marginal revenue.
Tight (contractionary) money policy
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Illustrate what relationship exists and how might a business manager use this information to increase their profits.
Describe three major shifts in the scope of the federal government’s power that occurred between the Civil War and the present.
Galvanized Products is considering a new computer system for their enterprise data management system. The vendor has quoted a purchase price of $100,000. Galvanized Products is planning to borrow one-fourth of the purchase price from a bank at 15 per..
How have financial innovations increased the liquidity of home mortgages since the late 1970s? Has this increase in liquidity tended to increase or decrease the interest rate on home mortgages? Explain why.
Cite the major functions of the district Federal Reserve banks. Brief overview of monetary policy. Brief overview of the Board of Governors.
Discuss Malthus' reaction to capitalism. How might we understand this reaction? Does his population thesis retain any validity for today's world? Outline Marx's attack on capitalism. How has capitalism changed in ways unanticipated by Marx?
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