...7/7/2014 Evernote Export Modern Welfare Criteria Created: 5/22/2012 9:12 PM General Equilibrium and Perfect Competition General Equilibrium of Exchange and Consumption 1. We assume that there is no production and the economy is a pure exchange economy. There are 2 individuals and 2 goods, who will exhaust the goods together. Naturally they will consume until (MRS x,y )A = (MRS x,y )B. But we don't know beforehand what will be the exact equilibrium. But if we know the initial distribution, we can define the boundary within which the equilibrium solution will lie. 2. Thus the initial distribution of goods and their relative bargaining strengths will determine the equilibrium position. This general equilibrium determines not only the final distribution of goods but also the rates of exchange or relative prices. Note that however, we can't determine absolute prices from here, we can only determine relative prices. Show that in PC, General Equilibrium can exist 1. This ca be shown using the fact that under PC, relative prices which A is facing will be same as relative prices which B is facing and hence MRS x,y for both will be same. General Equilibrium of Production 1. We assume that all labor is homogenous, receives equal wages, total quantity of each factor (L and K) is fixed, the production function is continuous and twice differentiable and the technology is given which together with factor endowments limits the production possibilities. Naturally the equilibrium condition...
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...Answer no. 05 Suppose in the initial allocation the following situation prevailed: MRSAom = 4 and MRSKom = 3. Keya can offer one orange to Apu for 3 mangoes and 3 mangoes can give her the same satisfaction as before and the exchange make her better off than before, because she has 1 more mango left. This means the initial situation was not Pareto efficient. Answer no. 06 Suppose in the initial resource allocation, MRSAom = 4 and MRTom = 3. Apu can reduce mango production by 3 units and gain 1 unit of orange. He can exchange 1 orange for 3 units of mangoes and can improve his situation because he gains 1 unit of orange in the process. This again implies that the initial allocation was not Pareto efficient. Answer no. 07 We need government intervention even if the First Fundamental Theorem of welfare economics is satisfied because the initial allocation of resources can lead to a point on the grand utility possibility curve, which sustains a very unequal distribution of income and puts the economy on a lower social indifference curve. The government can change the initial allocation of resources such that the distribution of income can be made socially desirable without affecting the Pareto efficiency condition. Answer no. 08 The situation in which price becomes greater than marginal cost, as in a monopoly market, cannot be Pareto efficient because marginal valuation of the consumer for the commodity as expressed by MRS exceeds MRT and in this situation the society’s...
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...good or service. “Given this measure, one may speak meaningfully of increasing or decreasing utility, and thereby explain economic behavior in terms of attempts to increase one's utility. Utility is often affected by consumption of various goods and services, possession of wealth and spending of leisure time. According to Utilitarian’s, such as Jeremy Bentham (1748–1832) and John Stuart Mill (1806–1873), theory “Society should aim to maximize the total utility of individuals, aiming for "the greatest happiness for the greatest number of people". Another theory forwarded by John Rawls (1921–2002) would have society maximize the utility of those with the lowest utility, raising them up to create a more equitable distribution across society. Utility is usually applied by economists in such constructs as the indifference curve, which plot the combination of commodities that an individual or a society would accept to maintain at given level of satisfaction. Individual utility and social utility can be construed as the value of a utility function and a social welfare function respectively. When coupled with production or commodity constraints, under some assumptions, these functions can be used to analyze Pareto efficiency, such as illustrated by Edgeworth boxes in contract curves. Such efficiency is a central concept in welfare economics.In finance, utility is applied to generate an individual's price for an asset called the indifference price. Utility functions are also related to...
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...The Economics of Amartya Sen “Social Choice and Welfare Economics” (NPWES, 2008) And as related to Philippine Economy: National Budget Cycle In Partial Fulfillment of the Requirements for the Degree Bachelor of Science in Hotel and Restaurant By: Binalingbing, Jhan Ray N. February 2014 INTRODUCTION “…a budget is a useful tool to help ensure that what limited money is available will be spent for the family’s most important needs, like food, clothing and shelter.” -Florencio Abad Secretary, Department of Budget and Management Every household knows that their budget is indispensable, important and has the capability to turn and mobilize their life around. Every day, millions of Filipinos work just for a meager share to eat, drink, and live, and tomorrow, work again to live for a day. Yet reality, tells us that many still suffer and live in difficult conditions. The National Statistics Coordination Board (NCSB) reported that in 2012, 4.2 million Filipino families experienced or lived in poverty or that is 19.2% percent. The same report also stated that a family of five needed a budget of PhP 5,513 to meet basic food needs every month and Php 7,890 to stay above the poverty threshold (basic food and non-food needs) every month. Such can be attributed to the inflation rise to 4.1 % from the year 2009-2012. What could have caused this statistic to be constant and rise up even more? Is there lack in financial stewardship and accountability on the part of Filipinos? Or even...
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...!"#$%#&#'()$*+,-../0/)/12$-3$4-'+(1/5#$677-8&1/&9$:1(&;(';. 681"-'$?-#)$:@$A#+.B/ :-8'7#>$!"#$677-8&1/&9$C#5/#DE$F-)@$GHE$4-@$G$0. This has the convenient effect of placing all recording, transmission, and similar errors in the state partition; and it allows viewing the information system as defining a function from S into Y: y =(s). Within this framework, the standards are viewed as defining a function, m, from H into the real line such that m(8) m(77') That is, the standards if and only if 77R77'. are used to single out a most preferred alternative. Using the standards, we are able to compare any two accounting alternatives and decide which of the two is superior or whether they are equally desirable. Presumably, the comparisons are also transitive. One way of describing such a choice process, which we adopt, is to view the standards as providing a hypothetical numerical ranking for each of the alternatives. Note, however, that the domain of this ranking function is limited to E itself, without any reference to the individual's preferences and beliefs. A fundamental question now arises: does any such function, m(.), exist? In selected settings the answer is, no doubt, affirmative. But, in general, the answer is negative. This is discussed below. THE IMPOSSIBILITY RESULT max A E(U I y, 7, ay*)D(y | X7EXc YEY (2) (2) Observe that this characterization of the choice, or specification, of an accounting alternative is but an expected utility variant of the situation initially...
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...ZEID BSA 1-A NSTP: CWTS REACTION PAPER The National Service Training Program, also referred to by the acronym NSTP, is a civic administration and defense preparedness program for Filipino tertiary education students. It is instituted by the Government of the Philippines on January 23, 2002 by virtue of Republic Act 9163, otherwise known as the "National Service Training Program (NSTP) Act of 2001". And one of the coverage of the program is the Civic Welfare Training Service (CWTS). This program component is designed to provide students with activities contributory to the general welfare and betterment of life of the members of the community especially those developed to improve social welfare services. As I selected CWTS for the first and second semester, I learned a lot from this course. The activities and seminars really change my point of view. At first, I thought CWTS is only about voluntary works, like cleaning in the streets but that is not at all. The class sessions and seminars taught me how practical experiences and theoretical knowledge would come into handy in the real life. But it doesn’t stop there, because there is this program that was currently introduced to us which were tutorials on some things that serve us our practice in preparation for the future use. With the things mentioned even by slowly, I improved myself physically, mentally, spiritually and socially. This program is really helpful to the students and youth. It does not...
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...Value Alignment Team Names University of Phoenix Integrated Business Topics BUS/475 Instructor Due Date Value Alignment Analyzing team values in comparison with another organization’s values can assist in understanding alignment between values. In evaluating such an alignment, Team D chooses to analyze Starbucks’ values. Team D will first evaluate personal values specific to the team. Furthermore, a review of how the team’s values drive actions and behaviors will illustrate the alignment between such. Thereafter, Team D will analyze the alignment between values and actions. Finally, as the team analyzes the differences between the values of the team and Starbucks’, the team hopes to understand more about the alignment of values, and more about the team’s values in general. Personal and Workplace Values During childhood, values originate from interaction and observations of parents, family, teachers, and friends. Guiding decisions and beliefs, values play an integral role in actions and behaviors of individuals and society. As individuals grow, values are assimilated and influence decisions on personal choices: friends, lifestyles, and employment. Honesty, integrity, doing what is right, respect, and family are examples of values but vary from one individual to another. As individuals enter the workforce, they bring their values with them into the organization. Organizations and companies also adopt and possess values. In 1987, Howard Schultz...
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...Value Alignment Talona King-Carter, Danielle Johnson, Tristan Perry, Joshua Crouch BUS/475 October 28, 2013 Michael E. Portillo Value Alignment: Individual & Apple, Inc. Ethics and values play an important role in an organization’s key to success. To achieve a successful alignment between personal and corporate values, a “core” relationship between the employee and the company they work for must be strong. The benefits gained hold significant value to both the organization and the employee. Established in April 1976, and is a multinational corporation that designs and manufactures electronics, computer software, and commercial servers. Ethical values play an important role in the mission and vision statements, which in turn, keep employees whose values are similar, happy and productive. “And I think regardless of who is in what job those values are so embedded in this company that Apple will do extremely well." (Investor Relations, 2013). Origin and Subsequent Evolution of Values The personal and workplace values of our team are much the same including core values like integrity, teamwork, performance, and learning. Making ethical decisions, along with developing trust and respect in the workplace is important. Cultivating integrity through our core values means more honesty, trust, and respect is evident to all. Teamwork involves sharing an open communication with other employees. Performance is based on the determination to strive for flawless performance in the...
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...Running head: VALUE ALIGNMENT PAPER Value Alignment Paper University of Phoenix Value Alignment Paper The first paragraph of this paper will give a brief introduction of my company, Coffee and Tea Beyond Retail, followed by an analysis of the individual values and organizational values reflected by the organization. Then, the rest of the paragraphs will examine the degree of alignment between the organization's stated and actual plans as well as the differences in individual and organizational values. Coffee and Tea Beyond Retail is a small business I want to start and will be a profitable private retailing company which will provide the finest and qualitative coffee and tea products sourced from all over the world and packed in a friendly environment. The coffee and tea will be sold in the retail and will be sourced from the finest and premium coffee and tea plantations across the world and will adhere to best practices in environment protection in the sourcing and procurement activities. The mission and vision statement of my company will focus on putting people before products and have a long established and passionately large and diverse loyal retail coffee and tea customer base. The company will strive to provide the highest quality products in the coffee and tea retail industry, at competitive prices to consumers and attain the highest possible customer satisfaction levels, by displaying highest standards in customer service, quality and professionalism...
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...Mayo Clinic Value Alignment Learning Team B Anita Duray, Genia Lewis, Lisa McNeill, Tamiko Perry, and Michael Rogerson BUS 475 July 9, 2012 Paul Gerlach In this paper Learning Team B analyzed the individual values and the organizational values as reflected by the organization’s plans and actions of the Mayo Clinic. The Learning Team B selected the Mayo Clinic because of its long history and high values. The Mayo Clinic’s founder was Dr. William Worrall Mayo and back in 1863 in Rochester, Minn. From the beginning the Mayo Clinic main focus was helping people with a more team driven practice. The clinic would request other doctors or science researchers to join them in the world’s first private group practice in medicine. This teamwork method through the Mayo Clinic continues today with more than 55,000 doctors, nurses, scientists, students, and allied health staff at locations in the Midwest, Arizona, and Florida. (“Mayo Clinic History”, 2012) With the data available about the Mayo Clinic the Learning Team B is going to analyze the evolution of the clinic’s personal and workplace values. The team will explain and analyze the alignment of the clinic’s individual and organizational values. Then finally the team will explain the differences between the individual and organizational values as reflected by the Mayo Clinic’s plans and actions. Personal and Workplace Values Mayo Clinic is a medical clinic. This medical clinic...
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...Value Alignment Axia College of University of Phoenix Course: BUS/475 – Integrated Business Topics Value Alignment In every business, ethics and core values are very crucial tools that connect to the survivorship of an employee’s position in the workplace. These same values describe and define the personal outlook on an individual’s life. Team B will analyze the individual values and Dell’s values as reflected by Dell’s organizational plans and actions. The team will describe each one’s own evolution of personal and workplace values. An explanation will explain how individual values drive Team B’s actions and behavior, and analyze the alignment between the Team’s alignment between their values, actions, and behavior. A description of the degrees of alignment between Dell’s stated values, plans, and actions are provided. An explanation is also submitted in an effort to show the difference and analyze the degree of alignment between the Team’s values and Dell’s values as reflected by Dell’s plans and actions. Evolution of Personal and Workplace Values The origin and subsequent evolution of Team B’s personal and workplace values are similar. Each member was nurtured at an early age about how to exhibit practical values such as integrity, accountability, diligence, perseverance, and discipline. The same values are applied in the team’s personal lives as it is in their workplace. Often times business men and women lie on the...
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...company’s core values and that say’s a lot about the organization. Nike is a strong advocate of formulating business strategies, creating market-driven incentives as a primary driver of change. For Nike, these core values are: Authenticity: Nike is authentic in everything it does. Athletic: Nike appeals to serious athletes. Performance: Nike’s products must meet the highest specs. From this three-legged model, Nike identified its widest access point: the joy in sports fitness that’s available to everyone. In other words, “Just do it” (www.extremekindness.com). From our analysis Nike focused on creating an image of ‘performance, competition, achievement, by doing its personal best; by promoting good work culture. Values are very important to our life, implementing them strengthens everything that concerns us. On the contrary it’s been established, however, Nike is running efficiently in all aspects. The company has marketed itself so methodically that it has figuratively become a household name. Now on the flip side, Nike was providing jobs too many who would other wise not have one; paying “a measly $1.60 a day to Vietnam factory workers while living wages are or were at least $3 a day” Another concern, is that Nike faced with a dispute over the unsafe conditions Nike was providing its factory workers. However, the organization still achieved continual success through effective operation and strategic planning. This paper will explain how individual values drive the...
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...Value Alignment Introduction British Petroleum (BP) is an oil company founded in 1909. They merged with Amoco Corporation in 1998 and became one of the largest oil companies in the world ("Encyclopedia Britannica", n.d.). Working in the oil industry for so long, BP has encountered many issues that have tested the organizations values. Analyzing those values and comparing them to personal values can lead to a better understanding of the organizations actions. Personal and Workplace Values Values are beliefs rooted deep in our subconscious that influence peoples actions and decisions (Gibb, 2010). During childhood, a beginning set of values are derived from interaction with parents, teachers, coaches, and other influential figures. As one matures, critical thinking, and life experiences may change some of these values. However, many of the values learned as a child stay in the subconscious and serve as the basis for many decisions as an adult. Many adults tend to live their lives according to their set of values. Decisions are made according to what feels right or whether it is “the right thing to do.” Some may think their values are universal, but it is important to understand the diversity in values and not become outraged or angry when values held sacred are challenged or violated. Companies establish a set of values or ethics to help ensure the company operates properly and is profitable. These values or ethics are guiding principles that help employees make important...
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.... 3 About Rule-Based Design ............................................................................................ 4 Rule Violation Warnings.......................................................................................................................................... 5 Design Criteria Files ................................................................................................................................................ 5 About Design Checks ................................................................................................... 6 Alignments ..................................................................................................................... 6 Alignment Creation and Editing ............................................................................................................................. 6 Applying Design Criteria to Alignments ................................................................................................................ 7 About Superelevation...
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...Value Alignment Values are key principles that one lives by that truly defines one’s life work. These are usually cultivated by family, culture and religious beliefs. As time goes on and one begins to have experiences outside of his or her normal realm these values are tested. One’s individual core values may change to adapt to other settings based on societal changes, financial status and education. As one enters the workforce the values of the organization must then be evaluated. Do the values of the organization measure up to the individual’s values? Does the culture of the business cause one to go against the principles of which he or she lives by? Team C has chosen to evaluate the values of Sam Walton, the founder of Wal-Mart, to the values incorporated in this company and its organizational plan to find whether or not the values are in alignment. Origin and Subsequent The origins and subsequent evolution of personal and workplace values within Wal-Mart are truly important to the structure of this organization. Wal-Mart has developed there business structure back in 1962 on these three basic beliefs: respect the individual, service the customer and strive for excellence. The origin reflects in the original beliefs that Sam Walton instilled in the company from day one are subsequently the same values that have evolved over the years. They may have not evolved in the since where they have changed but they have evolved where they are strictly and continuously...
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