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Think of a product you believe is mass marketed. How did you arrive at this conclusion? You might want to comment on classmates' posts with your opinion as to whether they have selected a mass-marketed product, and if not, why you think their choice is actually a segmented market.
Which of the following items used to produce a product is a capital item?
The Japanese car makers [Toyota, Honda and others] have almost eliminated the 'lemon' in new car markets. This is an example of positive adverse selection. Explain with examples how and when positive adverse selection can arise.
If there is a permanent adverse supply shock
Johnny Rotten consumes two commodities, namely garbage and vinyl records. He keeps the garbage in the backyard where it is eaten by goats and vermin. The reason he accepts the garbage is that people pay him $2 per sack for taking it. Johnny can accep..
Christine bought a BMW when she came to LA as a County Judge. The BMW was purchased by taking a loan that was to be paid off in 20 equal, quarterly payments. The interest rate on the loan was 12% per year with quarterly compounding. What was the amou..
Frequently result from radioactive transportation accidents due to the large number of such shipments
Suppose that the U.S. Department of Agriculture (USDA) administers the price floor for cheese, set at $0.17 per pound of cheese. The graph also shows that the minimum price at which a few of the producers are willing to sell is $0.06 per pound. In t..
What are the boundaries of a firm? What determines the extent of vertical boundaries-vertical integration? What determines the extent of horizontal integration-scope? Use the cost-benefit analysis to describe the optimal boundaries of a firm.
Illustrate happens to the amount of debt held by the public. Illustrate what happens to the level of gross debt.
In March 2008, the Fed helped prevent the bankruptcy of Bear Sterns. However, in September 2008, the Fed and the Treasury let Lehman Brothers go bankrupt. What accounts for the different decisions?
Mary borrows $80,000 to buy her home. Beginning next month she will pay the lender $720 per month for the next 20 years. What is the ROR? (Hint: 20 years = 240 months. Calculate the monthly interest rate first, then multiply by 12 to obtain the annua..
If your nominal income rose by 5.3 percent and the price level rose by 4.8 percent in some year, by what percentage would your real income (approximately) increase? If your nominal income rose by 2.8 percent and your real income rose by .9 percent in..
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