Question 1 If an industry is perfectly competitive, then a single producer is a price taker? Why? Explain with examples. Yes it is correct to say that a single producer is a price taker when the industry is perfectly competitive because by definition a perfectly competitive market is one in which no single firm has influence either on the equilibrium price of the market or the total quantity supplied in the market. Thus, a firm entering the market operating in a competitive market has no incentive
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SUBJECT: Evaluation of switching manufacturing materials Mr. Van Boetzaleaer, After having a meeting with the Sales Manager, Accountant and the development engineer, I would like to address your concerns about introducing plastic rings into the market in competition with our competitor, Henri Poulenc, because of its much longer life and lesser cost as compared to I.G.'s steel rings and handling of excessive inventory of steel rings and special steel for their manufacturing. According to the development
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1. What are the major, quantifiable value and price elements associated with the Kunst 1600? Value Elements - The total cost involved in oil changing and messiness is reduced Price Element - Increased pump durability -- The Kunst 1600 lasts 2 to 3 times longer than the incumbents in most segments. This means that repair firms will have to buy more conventional pumps than Kunst 1600s. This impacts the price a repair firm has to pay for conventional pumps (i.e., 2 to 3 times greater) and not
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Economics Group Assignment With Individual Component Questions A, B & C EC161/EC282 Walter Heering Seminar Group K Louis Quinton Toby Redman Charlie Spall Question 1……………………………………………………………………………….3 Question 2…………………………………………………………………………….12 Question 3…………………………………………………………………………….23 Toby Redman – Student Number: 13820112 Seminar group K EC161/EC282: Economics coursework: Group assignment with individual component – Question A Table of Contents Introduction 4 Price Ceiling
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The Competitive Advantage of Nations Writer : Michael E. Porter (2001) Main contents “We need a new perspective and new tool” : An approach to competitiveness that grows directly out of an analysis of internationally successful industries, without regard for traditional ideology or current intellectual fashion.” • Natural Prosperity - Be Created / Not be inherited - Does not grow out of a country’s natural endowments, its labor pool, its interest rates
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behaviour and micro aspects of the industry while macroeconomics is the study of the macro aspects or the industry as a whole. In the words of K. E. Boulding, “Microeconomics is the study of a particular firm, particular household, individual prices, wage, income, industry and particular commodity.” The heads covered by microeconomics can be set forth as below: 1. Theory of Product Pricing: This can be further broken down in to two viz the theory of consumer behaviour and the theory of production
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Mankiw, Macroeconomics 8e Chapter 3 1. The returns to scale in the production function Y = K0.5L0.5 are: A. decreasing. B. constant. C. increasing. D. subject to wide fluctuations. 2. If a production function has two inputs and exhibits constant returns to scale, then doubling both inputs will cause the output to: A. reduce by half. B. stay the same. C. double. D. quadruple. 3. If the supplies of capital and labor are fixed and technology is unchanging, then real
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University of Phoenix Material Macroeconomic Terms Define the following terms in your words. |Term |Definition |Definition Source | |Gross Domestic |Gross Domestic Product |http://www.investopedia.com/terms/g/gdp.asp | |Product (GDP) |(GDP) is a way to measure|
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Burlington Bees 1. To gain comfort over the existence of ticket sales revenue, one would Look at the revenue transactions from the general ledger to track and verify ticket stubs were actually sold. In addition, people who buy tickets might not show up so that must be accounted for. To do this, check the subsequent cash receipts to see if sales in fact exist. 2. The purpose of analytical procedures performed during the planning phase of an audit are to help the auditor better develop
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An analytical framework for evaluating e-commerce business models and strategies Chung-Shing Lee The author Chung-Shing Lee is Director of Electronic Commerce Resource Center and an Assistant Professor of Information Systems and Technology Management in the School of Business at Pacific Lutheran University, Tacoma, Washington, USA. Keywords Internet, Economy, Innovation, Strategy Abstract Electronic commerce or business is more than just another way to sustain or enhance existing business
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