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You're advising a friend who has a decision to make regarding Social Security. He is about turn 62 years old, and is eligible for early Social Security benefits. His early benefits would amount to $677 each month. However, he knows that if he waits until he is 65, his monthly benefits would be $875 a month. According to the actuarial tables, he is expected to live until his 82nd birthday. He cannot decide if he should take early benefits or wait until he is 65. If his opportunity cost on the Social Security benefits is 8 percent, how would you advise him on this decision? Please ignore taxes and assume your friend is interested only in the expected value of his Social Security payments.
Why do you think it is important for managers to understand the mechanics of supply and demand both in the short run and in the long run?
Can you articulate how macroeconomics and microeconomics come into play in the context of firm decision-making in a global business. Please provide an example.
Compute the best response function of each firm in terms of prices. Compute the resulting equilibrium price quantity combination for each firm. Describe your answer with a suitable graph. Also calculate optimal profits of each firm.
Give a brief summary of economic costs. In the short-run, why might a firm still operate even when there is a loss.
The government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues, like obesity and heart disease. Answer the following: in 600-800 words
How does an increase in the price of widgets affect the: And describe the effects in detail?
Describe why the profits of such firms tend to increase when there is the excess supply of the inputs they employ in their production process.
How would you know demand has increased? (What is the first piece of information which would lead you to conclude that demand has increased?)
Gamma corporation one of the firms which retains you as the financial analyst is considering buying out Beta Corporation. Discuss how these data provide evidence of inefficiency. How could the new manager of Beta Corporation improve efficiency?
Assume that the price was 5% lower and all other factors do not change. How much more would you buy each year? Using this information, compute the own-price elasticity of your demand.
Please explain why international strategy is important. What is the difference between domestic and international strategic planning?
Create a list of reasons for your recommendation and include considerations of product features and use of advertising.
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