The purpose of this assignment is to apply the concept of microeconomics in analysis of the company that listed in Bursa Malaysia. We are required to select one of the companies that listed in Bursa Malaysia. Described the background and the type of products or services offered by this company. Besides that, we need to explain type of market structure that this company can be categorizes into and also explain the characteristics of that market structure. By using the annual report from…
Economics will help us save more money and will help our business grow even more.
Part III: Definition of Terms.
1. Economics ÔÇô the efficient allocation of the scarce means of production toward the satisfaction of human needs and wants.
2. Microeconomics ÔÇô the branch of economics, which deals with the individual decisions of units of the economy ÔÇô firms and households, and how their choice determine relative prices of goods and factors or production.
3. Macroeconomics ÔÇô the branch of economics…
Profile of the Telecom Sector
e. License Conditions Inhibiting Competition
f. Spectrum Assignment and Pricing
g. Interconnection Charges
h. Tariffs for Basic Service
i. Features of Indian Telecom Tariffs
j. Issues with Present Tariff Structure
4. Microeconomic Analysis
a. Demand and Supply
c. Basic Economic Cost Concepts
d. Concept of Costs used for determining prices
e. Pricing Methodologies
5. Issues Raised
a. Critical analysis of various pricing methodologies
b. Predatory Pricing and Vertical…
So, for Ed=1 this represents unit elasticity.
8. The owner of a health club asks you for advice about whether the company should raise or lower the price of its membership this year based on the following information: last year the club raised the price of its membership by 5% and the number of members paying the same fee fell by 7%.
Based on the information provided we could use the price elasticity formula to determine if the price change represented elastic or inelastic demand. Divide…
This is a true statement, but opposition says that this only drives up the standard of living and inflation rate in the world. Inflation is defined as the overall general upward price movement of goods and services in an economy. Although some people who earn the minimum wage are teenagers, almost two-thirds are adults. The average minimum wage worker brings home about half of his family's earnings. Increasing the minimum wage will help these workers to make up for lost ground due to inflation and…
as the price increases, there is a less than proportionate response to change to quantity demanded, and hence equilibrium quantity.
(D) In reducing the quantity of pseudoephedrine coming into New Zealand, Customs and the Police are reducing the potential production of P. in effect, officials are increasing the scarcity of P in NZ, although this may seem positive, it may encourage producers of P to increase quantity supplied. This is because the recently increased scarcity causes producers to reduce…
B) There is disagreement over what is, and what is not, a legitimate goal for society to try to achieve, possibly because some economists are 'left wing' and others are 'right wing'.
C) The discipline is so wide and complex that no one person could be expected to cover the whole range of possible knowledge.
D) There is truth in all of the above.
12. Other things equal, when the price of a good increases, we would expect:
A) quantity demanded to increase.…
short-run market supply; left; increase.
21. Which of the following lists the three main characteristics of a competitive market?
many buyers and sellers, similar products, easy entry into the market
22. Total revenue minus total cost equals:
23. A firm participating in a competitive market with costs described in the table below would always shut down:
if the price is equal to $2.
24. When revenue is insufficient to cover cost,
the firm suffers a loss.
Within these categories, many sub-markets branch out. Competitive Markers are the most common, having many sellers providing similar products to many buyers. Competitive businesses make profit based off of the relationship between net and gross income, and depend on providing a more reasonable price than its competitor. This type of market is seen mainly with a capitalist economy. Monopolistic Markets are similar to Competitive, but they differ in the type of product. Monopolistic businesses provide…
1. At its current level of production, a profit-maximizing firm in a competitive market receives $12.50 for each unit it produces and faces an average total cost of $10. At the market price of $12.50 per unit, the firm's marginal cost curve crosses the marginal revenue curve at an output level of 1000 units. What is the firm's current profit? What is likely to occur in this market, and why?
Total rev | 12500 |
Total costs | 10000 |
TC=ATC(Q) = 10 ( 1000) = 10000
The most effective marketing tool is the network of people that ride. However they have opened there marketing up to expand the overall profits of the company with merchandise to advertise the American made motorcycle by selling apparel for all Harley enthusiasts, like shirts, hats, boots, bumper stickers, dinner ware, and more. In addition to the swag merchandise they have a complete line of motorcycle parts and bike accessories. For Harley-Davidson's marketing objectives to be successful the company…
It may be cheaper to purchase an older truck than a newer car, but in fuel and maintenance, the older truck will cost more. The pros and cons of this decision are all personal. The lower upfront costs may be more beneficial to one person than to another. A personal decision that I am struggling with right now is with my credit rating. I have two credit cards that have a high balance. These are both in my ex-wife’s possession. They are both delinquent on payments. I have to decide whether to just…
wants a security system for their home or fire alarm system for their business. Depending on the consumer demand for these products, the price could increase and cause the demand of these products to decrease then vice versa.
The concepts of microeconomics and macroeconomics helped me understand the factors that affect shifts in supply and demand on equilibrium price and quantity by how they can affect the…
establish for emerging economies. The stock market crash of 1996 and 2010 in Bangladesh has once again renewed the interest in investigating the dispute revolving around the significance of the changes in a stock market and their causal role in other microeconomic as well as macroeconomic factors specially in a situation of developing economies like Bangladesh. In addition, stock markets are brought into focus in this process since they are believed to be crucial factors for sustainable economic growth in…
Stores immediately sold out the day the Xbox 360 came out. According to Wikipedia.org, "Microsoft was not able to supply enough systems to meet initial consumer demand in Europe or North America. Many potential customers were not able to purchase a console at launch and the lack of availability led to Xbox 360 bundles selling on eBay at grossly inflated prices, with some auctions exceeding $6,000. It was reported that 40,000 units appeared on eBay during the initial month of release, which would…
On the official Hasbro ™ website, and in many books you can find all kinds of strategies for winning the board game.
Know when to cause a building shortage If you have only low-rent color groups, quickly build three or four houses per property to restrict the availability of houses to owners of high-rent color groups. Never move up to a hotel anywhere if the return of houses to the bank would enable an opponent to develop an expensive color group. (Example: the Yellow group has just been…
incremental, additional, or extra.
• A rational decision maker changes the status quo if the expected marginal benefit is greater than the expected marginal cost.
Use PowerPoint slides 20-21 for the following section
Microeconomics and Macroeconomics
• Microeconomics: The study of individual economic choices (e.g., your economic behavior).
• Macroeconomics: The study of the performance of the economy as a whole, as measured, for example, by total production and employment.
If we alter the assumptions underlying the projections of physicians demand and supply in the market, such as increase in the number of hours worked by the old physicians, utilization rate of each physician and rise in the accommodation capacity of GME and other productive capacity of the healthcare infrastructure, then there might be increase in shortage by 35,000 more than the shortage in baseline. (mgma, 2014).
According to the price elasticity of demand situation in the physicians market…
Although prices tend to be set by supply and demand, they are also exposed to externalities. An externality occurs when the actions of consumers or producers give rise to positive or negative side effects on other people, who are not part of these actions and whose interests are not taken into consideration. A perfect example of a negative externality is the rise of jet fuel. As a barrel of oil rises, the price of jet fuel also rises and consequently the price of an airline ticket also rises. Externalities…
Tickets to see Willie Nelson cost $40. On any given day, you would be willing to pay up to $50 to see and hear Willie Nelson perform. Assume there are no other costs of seeing either event. Based on this information, at a minimum, how much would you have to value seeing the Cubs play the White Sox to accept the ticket and go to the game?
____ 11. Refer to Figure 7-5. At the equilibrium price, consumer surplus is
Opportunity costs are the difference in return between a chosen investment and one that is necessarily passed up. So, in other words many people decide to invest into their future by using the educational system to groom them and prepare them for the workforce, whereas some other may decide to place formal education on the hypothetical back burner and work to generate income and wealth. The question arises through, are these individuals who place education aside really earning wealth as far as what…
Solar Resources are not only affecting the GDP for power, but in other areas as well. Over a million residential water heaters are replaced each year and more are being replaced by using solar power. The solar power is given an opportunity in use solar power as the primary heating source for homes and commercial buildings. Which can increase the amount of GDP that is spend, yearly on solar and a large share of the energy market.
Business Cycle, Unemployment and Inflation
When looking at Renewable…
Southwest is reducing flights to try and be more efficient on their fuel consumption.
Another issue is the increase in ticket prices. Southwest Airlines has announced that they will be raising their ticket prices to offset the high cost of jet fuel. In March of 2012 Southwest raised fares by between $4 and $10 per round trip, depending on the distance (The Associated Press, 2012). In today’s economy, this may decrease the demand for flying and people may look for more affordable ways to travel…
When the quantity demanded is equal to the quantity supplies it is known as equilibrium price. Investopedia.com defines Equilibrium price is when no suppliers are left with the desire to provide goods at that price and no buyers are left wishing to purchase the goods at that price either. The NY Times had an article about the cheaper prices of turkey during November, which in fact should be the most expensive time to buy it. They compared it to the World Series and how baseball tickets are a lot…
Given the values of all the other variables that affect demand, a higher price tends to reduce the quantity people demand, and a lower price tends to increase it. Of course, price alone does not determine the quantity of a good or service that people consume. Coffee consumption, for example, will be affected by such variables and income and preferences, as we will see later.
For now, let’s look at how the number of Starbucks (supply) impacted the demand for this product. Supply and demand have…
To these ends, the State shall:
(1) Develop, adopt and promulgate measures to promote productivity in basic necessities and prime commodities;
(2) Develop an improved and efficient transport and distribution system;
(3) Develop, adopt and promulgate measures to stabilize prices at reasonable levels;
(4) Institute appropriate penalties for illegal price manipulation and other violations of this Act; and
(5) Establish a mechanism that will readily protect consumers from inadequate supply…
However knowing the concept of opportunity cost helped me reconsider my decision because I realized that the opportunity cost of paying for the SUVs gas in a year is equivalent to the value of many alternatives such as buying new alpine skis or renting better condos at the resort. As a result I decided not to pick that choice and instead spend my money on my alternatives.
Since my house is close to Beverly Hills, I sometimes feel the price discrimination when I shop at the local stores or…
Competition is a big factor when you’re coming up with a choice in choosing the two gas stations and the particular location on them both. Not only the location is the biggest key, but you got to realize the demand and supply factor too. Just so we are clear on the definition of the two terms: demand refers to the quantity of a good that is desire by buyers and supply is the total quantity of a product or service that the marketplace can offer (Economic Basics: Supply and Demand, 2014).
University of Phoenix
Principles of Microeconomics
Professor James Harris III
Aug 7, 2008
The article that will be used for this analysis is “Supply, demand, and the Internet-economic lessons for microeconomic principles courses” by Fred Englander and Ronald L. Moy. There will be definitions for the following economics, microeconomics, Law of supply and the Law of demand. Another subject that will be discussed is the identification of factors that lead to the changes…
even though the demand for the good may still be there. The attendance also affects the amount of employee we having working on any giving day.
• How do the concepts of microeconomics help you understand the factors that affect shifts in supply and demand on the equilibrium price and quantity?
The supply and demand in microeconomics relies on competitors and the prices. The equilibrium is a point at which all the bidding is done.
• How do the concepts of macroeconomics help you understand the factors…
“The price of diamonds is too high”
This essay discusses the statement “the price of diamonds is too high”; it will analyze the diamond cartel and its history in order to determine the validity of this statement. Various microeconomic theories will be discussed and explained, all of which are involved in the diamond cartel. The Oxford Dictionary defines a cartel as “an association of manufacturers or suppliers with the purpose of maintaining prices at a high level and restricting competition”…
Store layout (visited Lidl Store) ........................................................................ 18
Chart:Relationship store loyalty- store brand ....................................................19
Microeconomics- Price promotions ................................................................... 20
Location of the visited store .............................................................................20
Share of trade…
is known that exploitation is possible within the market, Wolff only subtly grasps the idea of economic competition.
Although he gives a decent argument about the interests of those who may potentially suffer let us talk about legitimate microeconomics and how they will affect society. In Wolff’s entire argument, he focuses on only one scope of competition, production efficiency. This is where a good is produced at the lowest input cost possible. Obviously this will not maximize social welfare…
possible solution is to decrease health care expenses, but this could lead to negative results (i.e. someone is not going to be given enough funds for medical services). This form of economics is called macroeconomics (while there are some note to microeconomics in terms of who pays for what in the health care industry), which is integral part to understand when working with health care economics. Essentially, funding is necessary to compete with the increase in demand for medical services (due to technological…
ethics. (6) This dispute about mathematical ethics has its roots in antiquity with Aristotle. While some contemporary proponents gloat over the mathematization of some of Aristotle's practical wisdom in his Economics and Politics in such fields as microeconomics, macroeconomics, and political econometrics, the received view is that Aristotle himself opposed mathematical ethics in his Nicomachean Ethics. But did he? (7)
Scholars have recently clarified Aristotle's concerns about mathematical ethics…
cc) If voter 3 is the chair (or "agenda setter") and can decide which alternatives to put for a vote in the first round of voting: Which pair should she pick?
Problem 3 (Majority voting v. Borda vote count) (Recommended source: Schotter, Microeconomics, chapter 18).
The board of Moot Oil has to decide which of four alternative oil field developments, A, B, C or D should be realized. The board consists of three voting members. The oil fields…
questions have been raised to determine the appropriate time government intervention is required and the magnitude of inefficiency to warrant supposedly intervention or to let the market correct itself. Stiglitz, argued that inefficient government microeconomic policies to address the market gap often tends to exacerbate the existing problem or yield unproductive results in the economy (34).
Market failure Correction
The principal of Pareto efficiency dictates that market failure is a product of…
for the industrial form.
However, Coase (in Williamson and Winter, 1993) said that ‘the integrating force in a differentiated economy already exists in the form of the price mechanism’. Coase (in Williamson and Winter, 1993) set out that the microeconomics assumption in economic activity is determined freely by the price mechanism, and economic system is just ‘works itself’. In addition, simply, the exchange transactions are conducted through the price mechanism. However, Coase theory is just about…
is not only rooted in sociology and public policy.
Rational Economics Theory is utilized as an umbrella argument to explain why all individuals, including youths, become integrated into gang organizations. The theory is downright the same to microeconomic Rational Choice Theory and argues that individuals, in their desire for financial gain or more utility, utilize gangs and criminal organizations as a means to achieve their ends. Gangs are seen as nothing more than businesses or organizations…
and to ensure that the flow of funds between savers and investors is smooth and steady, as well as to increase economic growth safely. The interest rates are changed every month and are quick to implement, but take a long time to go into effect. Microeconomic Reforms are also used to maintain…
an industry if there is a large machine being used in the production process than by employing more than one labor to work on it will increase the marginal products produced out of it.
The above mentioned examples told us a great deal that how microeconomics finds its application in our daily lives. Now we will talk about how macroeconomics establishes itself as an important essential in understanding some of the mechanism of different transactions and workings in our daily lives.
Introduction to Macroeconomics
Economics is divided into two main branches: microeconomics and macroeconomics.
Macro means large, and micro means small.
Microeconomics takes a close-up view of the economy by concentrating on the
choices made by individual participants in the economy such as consumers, workers,
business managers and investors.
Microeconomics stresses on the role of prices in business and personal decisions. One
of its major goals is to understand how…
positive outcome, it will drive a positive relationship and it will drive the two to continue working together. The worth determines the decisions the individuals will make in the future. Blau mentioned, from his experience and education about microeconomics, that since the market is always changing, human interactions were similar to those done in the marketplace (DeLamater, 2006). The one big difference between social exchange and exchange with the market is that social exchange is more varied and…
ESTIMATED TOTAL: $35.64billion
The benefits as explained above will be the lifeblood of New Orleans. These sectors include tourism, port operations, wages, and taxes. I feel that examining these areas will give us a better look at the microeconomics of New Orleans and allows us to better estimate the benefits of a recovery effort.
Also to better understand the value of these benefits I will be discounting the FV of the benefits by three important discount rates.…
Deregulation of industries has been an important part of the
microeconomic reform policies for the Australian economy. For example
in the agricultural sector, marketing boards which were often the only
buyer and seller of farm output have been dismantled. In the wheat,
egg and dairy industries deregulation has allowed a market economy,
free of excessive central control, improve efficiencies and
competitiveness by forcing inefficient operators out of the markets
estate market which shows signs of recession it appears that the rental market is not affected in the same way. “There are many uses of land, and how much land is allocated to each use depends on the demand for and supply of land for each use.” (Microeconomics 403) With the recent increase in private home foreclosures many individuals and families seek to find a quick solution to the need for a place to live.…
Human Development Index (HDI), which currently sits at 0.687, up from 0.677 in 2010. Thus, trade and investment are critical factors in ensuring that China’s growth remains sustained at 7.5% whilst still encouraging increases in development.
Microeconomic reforms serve to make the chinese economy more responsive, productive and competitive in a global economic environment, ensuring growth and development. There is a need to upgrade chinese industry and limit development in capital intensive industries…
5/27 | 0.5 |
Individual Supply and Demand Simulation | Complete the Supply and Demand Simulation located on the student website. Write 700 - 1,050-word paper of no more than summarizing the content. Address the following: * Identify two microeconomics and two macroeconomics principles or concepts from the simulation.…