What factors would determine the speed of its reaction

Assignment Help Business Economics
Reference no: EM131103575

According to the description of business fixed investment, how would you expect a firm’s investment decisionsto be affected by a sudden increase in the demand forits product? What factors would determine the speed of its reaction?

Reference no: EM131103575

Questions Cloud

How opening of borders will influence income distribution : Studies that consider the effects of immigrating from Mexico to the United States generally find that the big winners are the immigrants themselves. Explain this result in terms of the example in the question above. How might things change if the bor..
Considerably more productive in the service sector : Japanese labor productivity is roughly the same as that of the United States in the manufacturing sector (higher in some industries, lower in others), while the United States is still considerably more productive in the service sector. How does the f..
What are the three aspects or roles of biosphere reserves : What are the dimensions of sustainable community development. Name four and explain their interrelatedness. What are the three aspects or roles of the biosphere reserves? In your own opinion, which one of the three roles are the most important.
Find the bertrand-nash equilibrium : Consider the case of exogenous differentiation in a Bertrand Model. There are two firms (1 and 2) with marginal cost equal to zero, and the following demands: Q1 = 1 – p1 + c p2, and Q2 = 1 + c p1 – p2, where c is a positive constant.Find the equatio..
What factors would determine the speed of its reaction : According to the description of business fixed investment, how would you expect a firm’s investment decisionsto be affected by a sudden increase in the demand forits product? What factors would determine the speed of its reaction?
According to the liquidity preference model : According to the liquidity preference model, if the Federal Reserve increases the money supply, the equilibrium interest rate ________, and this leads to _________ in the quantity demanded of nonmonetary interest-bearing financial assets.
What is the price of the watches, in u.s. dollars : Boisjoly Watch Imports has agreed to purchase 15,000 Swiss watches for 1 million francs at today's spot rate. The firm's financial manager, James Desreumaux, has noted the following current spot and forward rates: What is the price of the watches, in..
What would the dollar price of the car : a. Has the price, in dollars, of the automobile increased or decreased during the 20-year period because of changes in the exchange rate? b. What would the dollar price of the car be, assuming the car's price changes only with exchange rates?
Has your company made a gain or loss as a result : At the time the loan was received, the exchange rate was 75 U.S. cents to the Canadian dollar. By the end of the month, it has unexpectedly dropped to 70 cents. Has your company made a gain or loss as a result, and by how much?

Reviews

Write a Review

Business Economics Questions & Answers

  Per-capita GDP on a ratio scale

Plot (using a spreadsheet or other graphical tool) the following scenarios for per-capita GDP on a ratio scale. Assume that per capita GDP in the year 2000 is $10,000. Use the Rule of 70 to estimate the value of per capita GDP on the graph for the ye..

  Economy that might make the policy choice ineffective

What problem is the economy facing? Assume you are a governor on the Federal Reserve Board of Governors. What type of policy (easy money or tight money) would you recommend to fix the problem you identified in question 1? What could happen in the eco..

  What type of preferences is carl exhibiting

Suppose there are two types of shirts available to Carl: red shirts and black shirts Carl is always wiling to exchange three black shirts for one red shirt. What type of preferences is Carl exhibiting? Draw several indifference curves to illustrate C..

  What is the effect of freeze on the nominal-real earnings

Developed produces two goods, manufactures and food, using three factors of production: capital, land and labor. The production of manufactures requires capital and labor, while the production of food uses land and labor. All the arable land is in th..

  What is the sustainable rate of growth

Wilderness Adventures has earnings per share of $2.45 and dividends per share of $1.05. The total equity of the firm is $850,000. There are 40000n shares of stocks outstanding. What is the sustainable rate of growth?

  Temporary decrease in the availability of raw materials

What is the effect of bad weather for farming or some other temporary decrease in the availability of raw materials?

  Employees be given personal protective devices

The Occupational Safety and Health Administration (OSHA) promulgates safety and health standards. These standards typically apply to machinery (capital), which is required to be equipped with guards, shields, and the like. Analyze the possible employ..

  Illustrate what are the qualifications and limitations

Explain the multiplier concept as it applies in this case. Illustrate what are the qualifications and limitations of the Multiplier Model.

  Proposed theory has for food consumption

In the Cutler, Glaeser and Shapiro paper entitled why have Americans become more obese? Name four testable implications that the proposed theory has for food consumption? and any solution for this problem?

  Are monopolies and oligopolies always bad for society

Are monopolies and oligopolies always bad for society? Provide real world examples of where this may be the case to strengthen your position. Provide at least one example of a case where having a monopoly or oligopoly may actually benefit the society..

  The steps to mining group gold include

The steps to Mining Group Gold include- defining the behavioral parameters of a unique subset of cultures. establishing a zone of proximal development. setting expectations for reasonableness of the ideas presented.

  Each nash equilibrium is a sub game perfect equilibrium

In a one-shot game, the best outcome for both players always represents a Nash equilibrium. B. A sub-game perfect equilibrium occurs when each player is doing the best he can regardless of what the other player is doing. Each Nash equilibrium is a su..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd