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a critical analysis of the microeconomic and macroeconomic environment and challenges that the company faces. Include the company background, industry, and industry structure. What is the industry? Financial? Computer? What is the industry structure? Oligopoly? Monopolistic competition? Is it regulated? Covered by EPA? What are the factor markets like? What global pressures does it face? Foreign competition? What is its cost structure (for example, fixed versus variable)? What ethical issues are present? Are there economies of scope or scale? Is it subject to business cycles? What is the long-term outlook for the company-growth, merger, bankruptcy, takeover by another company?
Explain why are prices usually higher for goods or services in London as opposed to Newcastle, or New York as opposed to San Fran?
Suppose the government imposes a price floor of $25, and agrees to purchases any and all units consumers do not buy at the floor price of $25 per unit (3 points) a. Determine the cost to the government of buying firms' unsold units. b. Compute the ..
The invisible hand principle, as developed by Adam Smith in The Wealth of Nations, states that A) government control over economic activity is essential for the talents of individuals to be directed toward their highest valued use. B) the economic ..
What would happen to each of the following economic varibles if the government increased the money supply by 20% per year: M1, interest rates, inflation and wages What impact does increasing or decreasing the printing of money have on the economy ..
Determine how does globalization lead to greater competition in market place? Discuss the implications for market structure in industries opened to global competition?
Assume you are hired as a consultant by Barks Industries, a company in a monopolistically competitive industry. How would you advise the company in terms of pricing, output, resource usage, and advertising?
Research in developing countries indicate that the incidence of child labor actually rose in some countries as incomes (and wages) of poor families increased. This is difficult to understand since many people assume that as incomes rose, the inci..
A nation has a fixed amount of Capital and Labor which lies on aggregate isoquant when all inputs are being used efficiently.
Suppose there is a permanent fall in private aggregate demand for a country's output (a downward shift of the entire aggregate demand schedule). What is the effect on output? What government policy response would you recommend?
The NCAA prohibits schools that are caught paying athletes from participating in bowl games, and sometimes the punishment is even more severe. Explain why schools don't break away from the NCAA and form a league in which athletes can legitimately ..
Develop a budget and see what happens. Were you successful in balancing the budget? If not, how much of a deficit or surplus did you end up with? What does this exercise tell you about the process of creating a balanced budget? Reexamine the budge..
Gillette's shareholders, Chairman and CEO James Kilts indicated, "Despite several new product launches, Gillette's advertising-to-sales declined dramatically . . . to 5.5 percent last year. Gillette's advertising spending, in fact, is one of the l..
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