... 16th ed. McGraw-Hill 3. Economics Anderton, A., Causeway Press Ltd. Grading Individual Assignment 10 Group Assignment 20 Mid Semester Exam 30 Final Examination 40 For every day that an assignment is late 10 % will be deducted up to a maximum of 3 days. After that assignments will not be accepted. Aim of the subject The aim of this subject is to expose students to some of the key principles of economics theory and their applicability to economic and social problems. At the end of the course, candidates should have attained an understanding of microeconomics and in particular the problems of resource allocation. 1. Introduction Definition of Economics Microeconomics vs. Macroeconomics Positive vs. normative economics Economics as a science Scarcity and wants Opportunity cost. Production Possibility Frontiers Factors of Production 2. Demand, Utility and Supply Demand - price and income Distinction between a movement along and a shift of the demand curve Elasticity of demand Inferior and griffen goods Supply price and cost of production Elasticity of supply Determinants of supply 3. Price Mechanism and Allocation of Resources. Interrelationship between demand and supply Equilibrium price and output Interrelationship between markets Compliments and substitutes Government intervention in the market - Maximum price, minimum...
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...Microsoft acquires Linux, Microsoft will become still powerful. It would usually cause market failure. Moreover, considering the problem of market failure, Government intervention is inevitable in the case of Microsoft. Government filed a case as Microsoft acted as monopoly. Monopoly If a firm only one which can produces a certain goods, it has monopoly in that market for that good. There are so many buyers in the market and there is a restriction to new firm enters into the market. The monopoly firm produces and sells their output where MR=MC and get abnormal profits before the government regulate to them. The U.S vs. Microsoft case of 1998 may be considered as a best example in showcasing the effects of antitrust laws against monopoly power. Microsoft manufactures the Windows family of OS (operating systems) for personal computers and servers. The Court claimed that the Microsoft acquired the monopoly power in the Intel – Compatible PC operating systems by charging a higher price above the competitive market. The market share...
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...000 = $7,800 (E = TR - TCEX - TCIM = $16,800 - $9,000 - $4,500 = $3,300 b. Can Joe expect economic profits from the venture? If so, to what are these profits attributable? Yes, he can expect positive economic profits. This is a return to his risk-taking (it might, after all, rain all summer!) or to locational rents (he may have the only stand on the beach) 2. The American Bagel Co. is considering opening a Bagel bakery and coffee shop near Campus. In an effort to predict the profitability of this venture, their in-house consulting team estimated that the daily demand for Bagels in the area to be the following Q = -5P + 20Pp - 30Pc +5I Where P = the price of bagels, Pp = the price of pastries (each), Pc = the price of coffee (per cup), and I = Income (average annual per capita, for local residents in thousands of dollars) a. Comment on this estimated demand function. Are the parameters reasonable? Why or why not? (Restrict your commentary to the signs of the parameters) Reasonable Sign? (Y/N) Reason P _______Y__________________________Downsloping...
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...ECONOMICS 2 REVISION MODULE 1: MARKETS IN ACTION MARKET EFFICIENCY * Market is efficient when social surplus (CS & PS) is maximised * Raising Production MC > MB: costs society more to produce than its value to us * Reducing Production MC < MB: society surplus not maximised * Efficient (Optimal) Allocation MC = MB: social surplus is at max PRICE ELASTICITY * Elastic: greater than 1 * Perfectly elastic: equal to infinity (horizontal line) * Inelastic: less than 1 * Perfectly inelastic: equal to 0 (vertical) * More steeper = more inelastic GOVERNMENT INTERVENTION * Tax: Direct & Indirect, Producer + Consumer surplus will not sum up to total surplus because there is government intervention (part of society) * Whichever is less elastic -> carries more burden * Price ceiling: legally established max price seller can charge * Set below equilibrium * Results in excess demand (or shortage) * Price floor: legally established min price seller can be paid * Above the equilibrium * Results in excess supply (or surplus) * Floor set above equilibrium will cause quantity demanded to fall -> less of g/s available MODULE 2: MODELLING CONSUMER BEHAVIOUR MARGINAL UTILITY * Marginal Utility: the change in total utility derived from consuming one more unit of a good * Law of diminishing marginal utility: as more and more of a good is consumed, it’s marginal utility...
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...CHAPTER 7
THEORY OF FIRMS AND MARKET STRUCTURE I : PERFECT COMPETITION AND MONOPOLY
PREPARED BY : SITI NORDIYANA ISAHAK
THEORY OF FIRM
• FIRM – an organization/ institution that combines all resources for the production of goods and services. • INDUSTRY – a group of firm that produces or sells similar product in the same market. E.g : manufacturing industry such as textile, soaps, foods, servicing industry and so on. • Firm’s objective – maximize profit – attain production efficiency whereby cost is minimized TOTAL PROFIT = TR – TC if TR >TC → Profit (+ve) if TR
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...Lynn Harjo BSHS MKT/421 June 28, 2014 William Alan Mc Intyre Sony’s logo is customarily in block letters with the bottom of the letters slightly faded. Sony also has an additional logo for their PlayStation models; it is a red capital P standing over a yellow, green, and blue striped upper case S lying flat on under the P. Sony’s brand name logo is very recognizable because it is their name, however, I feel that it lacks a certain quality that would promote the brand; there is nothing special about their logo. I think that Sony’s logo for their PlayStations does a superior job promoting the brand because whenever someone sees PlayStations PS logo they immediately recognize it as PlayStation; it is far more eye catching than just the word Sony. The second reason I like Sony is because of VR. There’s something so fantastically science-fiction about the concept of virtual reality. It’s the closest thing we have to jetpacks and hover-boards, those futuristic technologies we watched on TV as kids, and read about in books. And with virtual reality, we’ll be able to finally drive in flying cars and take trips to the moon. Because VR is so steeped in science-fiction, I can’t help but also recall the dire warnings: People lost in alternate worlds, virtual reality junkies, incapable or unwilling to unplug. Perhaps anti-social isn’t even the right word—unsocial, detached, and isolated. When we play games on the TV or our PC or phone, we’re often playing in proximity to others,...
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...decisions of their employees are consistent with the organizations objectives and strategies (MCS) * Back end of management process * Involves managers taking steps to help ensure that employees do what is best for the org. Primary function of MC: to influence behaviors in a desirable way Benefit of MC: increased probability that organization’s objectives will be achieved Addressing types of problems: theft, fraud, unintentional error, etc Disadvantageous of MC: suppress initiative, creativity and innovation Control System: 1) Strategic Control – Is our strategy (still) valid or do we need to change it and if, how? Focus on the external tools. Management Control – Are our employees likely to behave accordingly? (do they understand what’s expected, and are they capable and willing to do so, if not how can we change it?) Focus on the internal mechanism. Causes of MC problems and needs for control: Can happen in any kind of combination simultaneously Can happen in any kind of combination simultaneously 1. Lack of direction – some employees perform poorly simply because they do not know what the organization wants form them. Management control therefore involves informing employees. 2. Motivational problems – individuals are self-interested or effort averse. Employees sometimes act in their own personal interest at the expense of their organization’s interest. The role of MCs in motivating employees to perform well involves incentives in a result control context...
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...HISTORIA CLINICA MEDICINA INTERNA DATOS DE FILIACION: nombre, sexo, edad, nacionalidad, estado civil, hijos. Fecha de redacción de la HC. MC: 1 palabra o frase corta. No es el diagnostico. AP: Alérgicos ( RAMC (si no esta seguro se indica por si acaso) ≠ a intolerancia FRCV ( HTA, DM, DL, Obesidad, Sedentarismo Tóxicos ( alcohol (gr/d= vol x % x 0.8 ), tabaco (IP/año= cig/d x años /20) , drogas (cantidad diaria, desde cuando, hasta cuando) Médicos ( Enfermedades actuales crónicas y Enfermedades agudas pasadas (ETS!!!! EDO!!!) Ingresos ( previos y por qué. Quirúrgicos ( Intervenciones quirúrgicas (pasadas/pendientes) y Ginecológicos (FUR, Gestacion; Menopausia) AF: Padres, hermanos, hijos (FRCV, geneticos, cáncer, ginecológicos, graves) SITUACIÓN BASAL, Funciones corticales conservadas, dep para AVD/L, discapacidad, dominancia manual, continencia, ants vs desp enf SITUACION SOCIAL – En que trabaja, a que se dedica, vive con alguien FACTORES AMBIENTALES - Donde vive, lugar de trabajo, animales en casa TTO HABITUAL – todos los fcos que toma, cuándo los toma y las dosis (MUY IMP QUE SEA ACTUALIZADO!!) ENFERMEDAD ACTUAL: Varón/Mujer de x años que acude al servicio de Urgencias por que refiere… Cúando comenzaron los 1º sínts y como fue el inicio. Orden de aparición y evolución hasta el momento actual. Como se encuentra ahora Descripcion del cuadro: localización, extensión e irradiación; intensidad, cualidad, duración, momento, (o ( evolucion...
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... 4. Proposed Channel Strategy for Dell to be Market Leader In SA 18 4.1 Marketing Channel Selection 18 4.2 Market Research and Analysis 18 4.3 Distribution Channels 18 4.4 The Internet and disintermediation in the distribution channel 19 4.5 Channel Length 20 4.5.1 Consumer Channels 20 4.5.2 Business-to-Business Channels 21 4.6 Overcoming Limitations of shop floor space 21 4.7 Conflicts 21 4.8 Supply Chain 22 4.9 Distribution intensity 22 4.9.1 Selective Distribution 23 5. Conclusion 23 B. List of References 25 C. ANNEXURE 1 27 A. Introduction This report examines the consumer purchasing decision process with specific reference to purchasing a PC; from the need recognition up until a consumer makes the decision to purchase such PC and also focuses on the post purchase behaviour. While this paper acknowledges the various steps involved in purchasing decision, it will also highlight the factors affecting the consumer search processes. In another section of this report, the...
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...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 is (MRTS L,K)X = (MRTS L,K)Y. Show that in PC, General Equilibrium can exist file:///C:/Users/user/Documents/micro%20economy.html 1/134 7/7/2014 Evernote Export 1. This can be shown using the fact that in PC, both firms face same (w/r). General Equilibrium in Product Mix 1. @ equilibrium, (Px/Py ) = (MCx/MCy ) = MRTS x,y = (MUx/MUy )A = (MUx/MUy )B. This is the condition...
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...The summary of Management Control Systems – Kenneth A. Merchant [Prentice Hall] Summarized by Mooyoung Son Linkoping University SMIO 2009 http://cyworld.com/zekison The summary of Management Control Systems – Kenneth A. Merchant [Prentice Hall] Summarized by Mooyoung Son Linkoping University SMIO 2009 http://cyworld.com/zekison Chap 1 : MANAGEMENT AND CONTROL 1) Causes of Management -Lack of Direction -Motivational Problems -Personal Limitation 2) Avoidance -Activity elimination : Eliminate what is not working properly -Automation -Centralization -Risk Sharing Chapter 2 SECTION II 3) Result Control : Preventive type Control Helps Mgr to address strategy, org, employees are performing - Steps : 1. Define Performance dimension 2. Measure Performance 3. Setting Target 4. Provide Reward Requirement for Effective Result control : - Knowledge of desired result : Org should know what result are desired - Ability to influence desired result : Employee have influence on result (Controllable) -Ability to measure Controllable result effectively : Org can measure result effectively (Measurable) Result measure should be : Precise, Objective, Timely, Understandable Chapter 3 4) Action Control : To ensure employees act in org’s best interest a. Form of Action control - Behavioral constraints – Negative Form (You can’t do this You can’t do that) - Pre action Review – Scrutiny(详查정밀조사) of action plan (What will they do?) - Action Accountability – (의무義務) Hold employees for action required...
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...The summary of Management Control Systems – Kenneth A. Merchant [Prentice Hall] Summarized by Mooyoung Son Linkoping University SMIO 2009 http://cyworld.com/zekison The summary of Management Control Systems – Kenneth A. Merchant [Prentice Hall] Summarized by Mooyoung Son Linkoping University SMIO 2009 http://cyworld.com/zekison Chap 1 : MANAGEMENT AND CONTROL 1) Causes of Management -Lack of Direction -Motivational Problems -Personal Limitation 2) Avoidance -Activity elimination : Eliminate what is not working properly -Automation -Centralization -Risk Sharing Chapter 2 SECTION II 3) Result Control : Preventive type Control Helps Mgr to address strategy, org, employees are performing - Steps : 1. Define Performance dimension 2. Measure Performance 3. Setting Target 4. Provide Reward - Requirement for Effective Result control : - Knowledge of desired result : Org should know what result are desired - Ability to influence desired result : Employee have influence on result (Controllable) -Ability to measure Controllable result effectively : Org can measure result effectively (Measurable) Result measure should be : Precise, Objective, Timely, Understandable Chapter 3 4) Action Control : To ensure employees act in org’s best interest a. Form of Action control - Behavioral constraints – Negative Form (You can’t do this You can’t do that) - Pre action Review – Scrutiny(详查정밀조사) of action plan (What will they do?) - Action Accountability...
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...Topic 2-5 The impact of accounting information on ethical behavior has been extensively documented. Many ethical issues are imbedded within and around MCSs. Some critics use ethics arguments to question the basic foundations MCSs and capitalistic economies that empower manager to make economic decisions. However, Macintosh (1994) argues that “accounting and control systems can and do play a critical role in defining the moral constitution of an organization.” Management control systems are a powerful determinant of an individual's behavior (Macintosh 1994; Dirsmith et al. 1997; Pant and Yuthas 1998). These systems are established to motivate employees to implement the strategy of the firm by aligning (使结盟) corporate and individual rewards. However, Horngren (1998) and Merchant (1998) note that many results are often counterproductive (适得其反\事与愿违) (e.g., slack, spend-it-or-lose-it). As organizations become flatter and knowledge is pushed further down into the organization, individuals will become even more responsible for decisions that significantly impact current profitability and future strategy (Johnson 1992; Lancaster 1998). Several of these will have ethical implications. The first issue regards to creating budgetary slack. Creating budget slack can be interpreted to be in contravention (矛盾) of several of the obligations listed under integrity and objectivity in the IMA’s Standards of Ethical conduct. Also, utilitarianism framework proposes that slack creation raises...
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...Cons of 802.11ac Strategy and planning for 802.11ac migration Site planning basics Planning process Minimum requirements and actions to implement 802.11ac Aruba recommendations for 802.11ac migration General Capacity RF planning Installation Wireless RF coverage considerations and questionnaire Summary 3 3 3 4 4 4 5 5 5 5 6 6 6 6 6 6 7 8 8 8 8 8 9 10 Aruba Networks, Inc. 2 802.11ac Aruba Migration Guide Introduction Wi-Fi has become such an amazingly successful technology because it has continuously advanced while remaining backwards compatible. The current state-of-the-art Wi-Fi is known as Wi-Fi CERTIFIED n or 802.11n. 802.11n has become popular because it improves performance. As 802.11n has become a standard interface on PCs, tablets and smartphones, the applications used by these devices have continued to progress. Mobile technology has encountered the next frontier – video. Whether delivering YouTube to smartphones or moving HDTV signals around the office or home, video has become a significant driver of network traffic, chiefly because it requires one or two orders of magnitude more bandwidth than other IP services. Now the 100 Mbps or 200 Mbps rates enabled by 802.11n, breakthrough figures that put it on a par with 10/100 Mbps Ethernet just a few years ago seem barely adequate for some emerging video applications. The next step in improving performance is 802.11ac, with speeds up to 1.3 Gbps in 2013 and much higher by 2015. The purpose of this paper is to...
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...Chapter 1 Introduction Multiple-Choice Questions 1) Which of the following is an example of how the question of "what goods and services to produce?" is answered by the command process? A) government subsidies for affordable housing B) laws regarding equal opportunity in employment C) government allowance for the deduction of interest payments on private mortgages D) government regulations concerning the dumping of industrial waste Answer: A 2) Opportunity cost is best defined as A) the amount given up when choosing one activity over all other alternatives. B) the amount given up when choosing one activity over the next best alternative. C) the opportunity to earn a profit that is greater than the one currently being made. D) the amount that is given up when choosing an activity that is not as good as the next best alternative. Answer: B 3) In a market economy, which of the following is the most important factor affecting scarcity? A) the needs and wants of consumers B) the price of the product C) the degree to which the government is involved in the allocation of resources. D) All of the above are equally important. Answer: A 4) Which of the following is not considered by economists to be a basic resource or factor of production? A) money B) machinery and equipment C) technology D) unskilled labor Answer: A 5) Select the group that best represents the basic factors of production...
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