Answer:
Martha can produce 70 quilts or 140 batches of chocolate chip cookies:
Opportunity cost of producing a quilt = (140 ÷ 70)
= 2 batches of chocolate chip cookies
Opportunity cost of producing a batch of chocolate chip cookie = (70 ÷ 140)
= 0.5 quilts
Jane can produce 8 quilts or 24 batches of chocolate chip cookies:
Opportunity cost of producing a quilt = (24 ÷ 8)
= 3 batches of chocolate chip cookies
Opportunity cost of producing a batch of chocolate chip cookie = (8 ÷ 24)
= 0.33 quilts
Therefore, the comparative advantage is as follows:
Martha has a comparative advantage in producing quilt because it has a lower opportunity cost of producing quilt than Jane.
Jane has a comparative advantage in producing chocolate chip cookies because it has a lower opportunity cost of producing chocolate chip cookies than Martha.
Absolute advantage:
Martha has an absolute advantage in producing both the commodities because she can produce more amount of both the goods from the same level of resources as compared to Jane.
Be Efficient. Consider how your business is currently operating, and be open to the potential of changing the way you work.
Delegate.
Reduce Distractions.
Have the Right Tools and Equipment.
Improve workplace conditions.
Offer Support and Set Realistic Goals.
Practice Positive Reinforcement.
Ensure Employees Are Happy.
Answer:1) how responsive quantity demanded is to changes in income--A 2) income elasticity of demand for butter is 0.11. That means butter is a luxury good---A
Explanation:
1) Income elasticity of demand refers to the responsiveness of the quantity demanded for a certain good to a change in income of consumers who purchase this good.The higher the income elasticity of a good, the greater the consumers' response in their purchasing lifestyle.
The formula for Income elasticity of demands given by
The percent change in quantity demanded divided by the percent change in income.
2) Income elasticity of demand, helps us to identify if a particular good represents a necessity or a luxury.
-when the income elasticity for a good is less than 1(ie from 0-1) we say that the good is a normal good. these goods are also called necessity goods and consumers will purchase them irrespective of the changes in their income eg water, electricity
- when the income elasticity of a good is greater than 1 , we say that the good is a luxury good. eg butter
- An inferior good is one with a negative income elasticity which means rising incomes will lead to a drop in demand.
Answer:
a. Due to increases in hay prices, an input for raising cattle, the price of a gallon of 2% milk increases from $2.98 to $3.25. QUANTITY DEMANDED DECREASES, as the price of a good or service increases, the quantity demanded decreases.
b. Groupon has a Groupon for $6 off the price of laser tag. QUANTITY DEMANDED INCREASES, as the price of a good or service decreases, the quantity demanded increases.
c. Sharp increase in the price of wood causes increases in prices for dressers and desks. QUANTITY DEMANDED DECREASES, if the price of a key input increases, the production costs will increase, resulting in a higher selling price ⇒ lower quantity demanded.
d. Week long special at the grocery store, where pork shoulder is on sale at $1.99 a pound, down from $3.99 a pound. QUANTITY DEMANDED INCREASES, as the price of a good or service decreases, the quantity demanded increases.
e. Buy one get one free special for MP3 albums on Amazon. QUANTITY DEMANDED INCREASES, the buy one get one free promotion lowers the price of a good or service, resulting in higher quantity demanded.
Answer:
The correct answer is C. Stand-alone branding.
Explanation:
In the model of independent brands (house of brands) different brands coexist independently acting on the basis of the different lines of business. This model allows attacking different market segments with specialist brands in each of them, but in the face of the great freedom it provides, minimal synergies between brands are used. For example, LVMH, the world leader in luxury products, has in its portfolio brands such as MOËT & CHANDON, DIOR, AG HEUER or SEPHORA, among others, which operate without any link to the corporate brand.
