...camera phone - Larger television - Bigger house - Exotic vacation Why can’t we have everything we want? - Our wants exceed our resources. Economics and Opportunity Cost Economics – the study of how best to allocate scare resources among competing users. Opportunity cost – The value or price of the most desired goods and services that are foregone in order to obtain something else. - The next best alternative that you give up. Factors of Production Resource inputs used to produce goods and services. The four resources: - Labor, land, capital and entrepreneurship Resources are factors of production. Economic resources – all natural human and manufactured resources that can be used in the production of goods and services. Land – arable land, forests, minerals, energy (oil deposits and coal), water, air, wild plants, animals, birds and fish. Labor – all the physical and intellectual talents that can be used in the production of goods and services. Capital – all manufactured aids to production like tools, instruments, equipment, machines, factory, buildings, transportation, and distribution facilities that businesses use in producing goods and services. It does not include financial capital like money, stock, or bonds. Entrepreneurship – the social human resource that organizes labor,...
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...The role of government in the U.S economy extends far beyond its activities as a regulator of specific industries or gatekeeping. The government is also responsible for managing the overall pace of economic activity, with its objective of maintaining high levels of employment and controlling price stability (inflation). It has two main tools for achieving these goals: fiscal policies, which is done through taxes and spending and monetary policies, through which it manages the supply of money. In this paper, I will discuss the why high deficits of today will reduce growth rate of the economy in the future, look at the history of our nation’s debt and deficits, different elements that causes of deficit and why the cause actually matters, what role the fiscal and monetary policies have to lead to higher or lower budget deficits and how deficits affect the overall long-term economic growth and debt of the U.S. Let us first begin by learning the difference between the terms debt and deficit. In economics, the term deficit means a shortfall in revenue of a fiscal year. It is when the government’s revenue called receipts, which are collected taxes (payroll, corporate, excise, income and social insurance), fee revenues and tariffs that are called receipts are lower that what is spent called outlays. In other words, the federal budget deficit is the yearly amount by which spending exceeds revenue. The term debt is described as an accumulation of deficits so the national debt is the...
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...people, and governments around the world. The dynamism and vitality of entrepreneurship research is reflected in the flow of new ideas and themes in the entrepreneurship literature. For many, mainstream entrepreneurship is inextricably bound with the creation of new technology firms, however, this is only part of a wide and varied terrain. The focus of this paper is social entrepreneurship - those activities associated with the perception of opportunities to create social value and the creation of social purpose organisations to pursue them. Social enterprises adopt financially sustainable strategies to pursue social aims, and address a wide range of social problems, such as unemployment, inequalities in access to health and social care services, low quality housing, high incidences of crime, deprivation and social exclusion. This paper categorises the...
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... WEEK 1: HOW ECONOMISTS THINK * What are preferences? Preferences refer to all of the objectives an individual wants to achieve that might motivate a choice among a set of alternatives. * What does it mean for an individual’s preferences to be rational? Please explain the concepts of costs and benefits and the reasoning process used by a rational individual. A rational individual will try to make the best possible use of his/her scarce resources, usually choosing an activity that has the highest utility. Rational preferences possess 2 properties, which are completeness and transitivity. Completeness means that choices can be ranked in an order of preference. For instance, an individual will have a preference when faced with two choices. Transitivity means actions can be compared with other actions. As an example, if action a is preferred to b, and action b is preferred to c, then a is preferred to c. A benefit is the maximum unit of currency amount you would be willing to pay to do x, while the cost is the value of all the resources you must give up in order to do x. The cost-benefit approach to decisions states that an individual should do an activity x if the benefit exceeds the cost. Relating to cost, in the process of coming up with a decision, a rational individual will take into account opportunity costs and ignore sunk costs. * New theories argue that people are not always rational. On what grounds? What are the implications for Policy making...
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...EXECUTIVE SUMMARY Vietnam is a young country with the developing economy. To be a member of WTO (World Trade Organization), Vietnam can have many opportunities to develop more and more but it is also a challenge for this South East Asia country in the time changing from command economy to mixed economy. Established on 9th, April, 1995, through 15 years operating on home care products, personal care products and food, Unilever Vietnam has achieved a lot of success and be remarkable in Vietnam’s economy. Unilever Vietnam is evaluated as one of strongest foreign capital companies and has a huge contribution to Vietnam’s development and country’s economy. The important feature that guarantees its success is the close connection between the firm and Vietnam’s economy and the community. Furthermore, Unilever also has built and developed well relationships between medium and small internal enterprises even they are customers, suppliers or distributors. Over 15 years in Vietnam, Unilever is known as a firm not only brings the benefits to its own business but also contributing to the social’s development, especially with children and women by its meaningful activities. This project researches Unilever on this variety of aspect: * Identify the mission, values, and objectives and assess the influence of stakeholders of Unilever * Evaluate the extent to which Unilever achieves the objectives of three stakeholders * Identify the responsibilities of Unilever and strategies employed...
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...[pic] FACULTY OF BUSINESS AND GOVERNMENT Assignment Coversheet | Student ID numbers | u3015661,u3040937, u3056105, u3049098 | |Student names | Chen Yew Wai, Edmund (u3015661) | | |Chew Tze Yong, Jackson (u3040937) | | |Tan Hui Guang (u3056105 ) | | |Thiam Yee Hwa, Clara (u3049098 ) | |Unit name | Strategic Management | |Unit number | 7371 | |Name of UC lecturer/ Local tutor | Dr Majharul Talukder / Mr Sadanand Varma | |Program | BBA | |Assignment name | Strategic Management – Case Analysis (Apple) | |Due date ...
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...Analysis 10 3.1 Management mode of China Merchants Bank 10 3.21 Industrial structures 10 3.22 Services provide to customers 11 3.23 Source of profit 12 3.24 Financial products 12 3.3 The advantages of China Merchants Bank under the construction of international financial center 13 3.31 History and location 13 3.43 Headquarters circle 15 3.5 The challenges of China Merchants Bank under the construction of international financial center 16 3.52 Competitions from the non-bank financial institutions 17 3.53 Weakness in leading of Shanghai 17 Part4 Evaluation 19 4.1 The transformation of China Merchants Bank 19 4.11 Introduce financial talents 19 4.12Enhance the service satisfaction 21 4.13Adjust the industrial structure 22 4.14 Promote efficiency 22 4.15 Innovative financial products 23 4.2 GFIC analysis and People Factor 24 5. Suggestions 28 5.1 Diversified financial services 28 5.2 Financial personnel policy after the subprime crisis 29 5.3 Make reasonable risk early warning mechanism 30 6. Conclusion 31 7. Bibliography 32 Student statement 33 I hereby declare that the contents of my thesis on 33 Part 1 Introduction and Problem Statement 1.1Introduction In the development of financial globalization, Shanghai is under construction to become one of the international financial centre. In recent years, with the development of Chinese economy, the essential issue needed to build an international financial centre in Shanghai has been...
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...Question 1. :-Define economics? Answer:-It is the study of allocation of resources available to organization or business. It is fundamentally concerned with the art of economizing i.e. making rational choice to yield maximum return of output in minimum resources & efforts by selecting best alternative course of action among various. Question 2. : - Contraction and extension of demand? Answer:-A variation in demand implies “extension” or “contraction” of demand. When with a fall in price more of a commodity is bought there is an extension of demand. Similarly, when a lesser quantity is demanded with a rise in price there is a contraction of demand. In short demand extends when the price falls and it contracts when the price rises. Both of the terms are technically used in stating the law of demand. Question 3. :-Opportunity cost / alternative cost? Answer:-It is measure in terms of the forgone benefits from the next best alternatives use of a given resources in simple words scarifies or loss of alternative use of a given resource is turn as an opportunity cost. The alternative or opportunity cost of one unit of product A is the amount of product B that has been sacrificed by allocating the resources to produce A rather than B. Question 4. :-Low of Demand? Answer:-According to Ceteris Paribus, “The higher the price of the commodity the smaller is the quantity demanded and lover the price larger the quantity demanded other things remain...
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...Efficiency. Question: How to organize the system which promotes the most efficient use of resources? 2. Economics combines the rigour of science and poetry of humanities: Elaborate. 3. Three Fundamental Choice Problems of Economic Systems: • What commodities shall be produced and in what quantities? • How shall these commodities be produced? • For whom shall these commodities be produced? 4. Micro and Macro Economics: • Micro Economics: Concerned with the behaviour of individual economic units and their interactions – consumers and producers/business firms. ← Major type of interactions in the market: Between Buyers and Sellers: ← Three major components of Microeconomics: ← Product pricing ← Input (Factor) pricing ← Welfare economics ← Major uses of Microeconomics: ← Provides basic tools of economic analysis for application in special areas like Managerial Economics, Industrial Economics etc. ← Helps in understanding how the economic units operate, and whether they operate efficiently or not. ← Helps in making conditional prediction/forecasting. • Macro Economics: ← Study of aggregates: Deals not with individual income, but with national income, not with...
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...Scope of Managerial Economics 1.2.5 Why Managers Need to Know Economics? 1.3 1.4 Techniques of Managerial Economics Managerial Economics - Its application in Marginal Analysis and Optimisation 1.4.1 1.4.2 1.5 1.6 1.7 Application of Managerial Economics Tools of Decision Science and Managerial Economics Summary Self Assessment Test Further Reading 2 Managerial Economics 1.1 Introduction Managerial decisions are an important cog in the working wheel of an organisation. The success or failure of a business is contingent upon the decisions taken by managers. Increasing complexity in the business world has spewed forth greater challenges for managers. Today, no business decision is bereft of influences from areas other than the economy. Decisions pertinent to production and...
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...Faster, Sustainable and More Inclusive Growth An Approach to the Twelfth Five Year Plan (2012-17) Government of India Planning Commission Contents 1 An Overview 1-14 2 Macro-Economic Framework 15-27 3 Energy 28-38 4 Transport 39-44 5 Sustainable Management of Natural Resources 45-58 6 Rural Transformation 59-66 7 Farm Sector 67-79 8 Manufacturing Sector 80-86 9 Health 87-95 10 Education & Skill Development 11 Social and Regional Equity 104-107 12 Challenge of Urbanisation 108-114 13 Science and Technology 115-118 14 Services: Tourism, Hospitality & Construction 119-125 15 Governance 126-134 16 Innovation 135-139 96-103 Tables Table 1.1: Structure of Global GDP 13 Table 2.1: Sectoral Growth Rates - Previous Plans and Target for Twelfth Plan 18 Table 2.2: Broad Macro-Economic Parameters - Previous Plans and Target for Twelfth Plan 19 Table 2.3: Projection of Centre’s Resources for the Twelfth Five Year Plan (2012-17) (Figures in Rs Crore at Current Prices) 23 Table 2.4: Projection of Centre’s Resources for the Twelfth Five Year Plan (as per cent of GDP) 24 Table 3.1: Projected Energy Demand 29 Table 14.1: Construction Sector: Contribution to GDP 122 Table 14.2: Construction Components Involved in Creation of Physical Infrastructure 122 Table 14.3: Requirement...
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...Report by the Commission on the Measurement of Economic Performance and Social Progress Professor Joseph E. STIGLITZ, Chair, Columbia University Professor Amartya SEN, Chair Adviser, Harvard University Professor Jean-Paul FITOUSSI, Coordinator of the Commission, IEP www.stiglitz-sen-fitoussi.fr Other Members Bina AGARWAL Kenneth J. ARROW Anthony B. ATKINSON François BOURGUIGNON Jean-Philippe COTIS Angus S. DEATON Kemal DERVIS Marc FLEURBAEY Nancy FOLBRE Jean GADREY Enrico GIOVANNINI Roger GUESNERIE James J. HECKMAN Geoffrey HEAL Claude HENRY Daniel KAHNEMAN Alan B. KRUEGER Andrew J. OSWALD Robert D. PUTNAM Nick STERN Cass SUNSTEIN Philippe WEIL University of Delhi StanfordUniversity Warden of Nuffield College School of Economics, Insee, Princeton University UNPD Université Paris 5 University of Massachussets Université Lille OECD Collège de France Chicago University Columbia University Sciences-Po/Columbia University Princeton University Princeton University University of Warwick Harvard University London School of Economics University of Chicago Sciences Po Rapporteurs Jean-Etienne CHAPRON General Rapporteur Didier BLANCHET Jacques LE CACHEUX Marco MIRA D’ERCOLE Pierre-Alain PIONNIER Laurence RIOUX Paul SCHREYER Xavier TIMBEAU Vincent MARCUS INSEE INSEE OFCE OCDE INSEE INSEE/CREST OCDE OFCE INSEE Table of contents EXECUTIVE SUMMARY I. SHORT NARRATIVE ON THE CONTENT OF THE REPORT Chapter 1: Classical GDP Issues . . . . . . . . . . . . . . . . . ....
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...[pic] Table of Contents Executive Summary 2-6 External Analysis 7-13 Internal A ,mnalysis 14-17 Functional Analysis 18-21 Business-Level Strategy 22-24 Corporate Level Strategy 25-27 Strategy Implementation 28-30 References 31 Executive Summary A Customer’s Hope Eli Lilly and Company is on a mission that benefits millions of people every day by helping them live longer and fuller lives. They provide their customers with answers that matter—life saving and enhancing medicines. They carry out this mission by discovering, developing, and marketing pharmaceutical therapies. Many of the pharmaceutical products Lilly brings to market are first-in-class, providing customers a therapeutic relief that did not exist. An example of this is their newly FDA-cleared drug, Xigris™, which helps thousands of people every day by treating the potentially fatal condition of sepsis. The Lilly research team persevered over two decades to bring Xigris™ to fruition, even when over ten other companies failed to produce a viable drug remedy for sepsis (Eli Lilly Annual Report 2001). This dedication truly exemplifies Lilly’s commitment to their customers and transcends into all their efforts. Eli Lilly continues to be a successful pharmaceutical company, while other pharmaceutical companies have seen their success erode, because of the strategies they employ. Lilly has focused on building partnerships rather than acquisitions...
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...Partner, Grant Thornton Vietnam Grant Thornton xxxxxxxx Page 2 of 52 Foreword Vietnam is a unique country providing extensive opportunities for those willing to spend time to understand the market. Although not without its problems, Vietnam’s economy continues to expand and modernise, and with the opening up of previously restricted industries and sectors to meet WTO commitments; opportunities continue to develop. Grant Thornton Vietnam has prepared this guide to assist those interested in doing business in Vietnam. This guide does not cover the subject exhaustively. However, it is intended to answer some of the more important questions that may arise. When specific problems occur in practice, it will often be necessary to refer to the laws and regulations of Vietnam and to obtain the appropriate professional advice. This guide contains only brief notes and includes legislation in force as of 28 January 2013. We hope this guide helps you in learning about and understanding business in Vietnam. Should you require professional assistance we will be only too willing to meet you to see if we can help. Page 3 of 52 Country profile Summary Vietnam is a rapidly developing country with a dynamic and emerging market economy. Located in South East Asia, the country has positioned itself as a focal point for investment, boasting an average annual GDP growth rate of 6.7% over the...
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...MIcroeconomics: Markets, Methods & Models Douglas Curtis and Ian Irvine | Version 2014/2015 $ ADAPTED OPEN TEXT FORMATIVE ONLINE ASSESSMENT COURSE SUPPLEMENTS COURSE LOGISTICS & SUPPORT a d v a n c i n g l e a r n i n g www.lyryx.com Copyright This work is licensed under a Creative Commons AttributionNonCommercial-NoDerivs 3.0 Unported License. http://creativecommons.org/licenses/by-nc-nd/3.0/deed.en_GB Douglas Curtis and Ian Irvine Edition 1.11 This edition is differentiated from the first edition solely by minor editorial adjustments. Content has not been altered. Microeconomics: Markets, Methods and Models About the Authors Doug Curtis is a specialist in macroeconomics. He is the author of twenty research papers on fiscal policy, monetary policy, and economic growth and structural change. He has also prepared research reports for Canadian industry and government agencies and authored numerous working papers. He completed his PhD at McGill University, and has held visiting appointments at the University of Cambridge and the University of York in the United Kingdom. His current research interests are monetary and fiscal policy rules, and the relationship between economic growth and structural change. He is Professor Emeritus of Economics at Trent University in Peterborough, Ontario, and Sessional Adjunct Professor at Queen’s University in Kingston, Ontario Ian Irvine is a specialist in microeconomics, public economics, economic inequality...
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