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The Theory of the Firm document, the Friedman article, and the information in chapter 4 argue that the main goal of a firm in a market economy is to maximize profit (shareholder wealth) over the long term. However, SEC regulations require U.S. corporations to publish operating results on a quarterly basis. How does this short term time frame impact long term profit maximization? Should the SEC change their regulations of public corporations to require only annual reporting of operations? How might this impact stock price in the short term? How do you believe that management deals with these two sometimes competing goals?
Provide an example for each about decision-making, interaction and workings of economy. Explain how that influences marginal benefits and marginal costs associated with decision to purchase a house.
Define the terms decision management and decision control. Under what situations might it be optimal to make one individual responsible for both decision management and decision control?
The article also notes that, as a consequence of the rent control laws, the price of owner occupied housing has increased greatly. Utilize a supply and demand model to model this phenomenon as well.
Visualize you are a manager for good or service used. From results of the deterioration equation, recommend strategies to either preserve demand if an increase over 3 periods occurs or improve demand
Analyze the forms of aid to developing nations and determine which have the greatest and least amount of impact on a country during a natural disaster.
Analyze the effect of both a bad weather and the rumors od a deadly disease in the consumption of rice?
Then you inherited a piece of commercial real estate bringing in $12,000 in rent annually.
Solve for the new equilibrium. Illustrate what happens to the price received by sellers, the price paid by buyers, and the quantity sold.
Illustrate what does this mean for the survival of small firms in the industry.
Elucidate what should Paul, the Director of Human Resources, do to determine how Plastec (a company that manufactures plastic) compares with other area employers in terms of wages and benefits.
What does the vertical distance between the horizontal axis and any point on a pure competitors demand curve measure.
Compute and indicate in diagram the level of domestic consumption, domestic production and imports of commodity Y at free trade price.
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