Answer:
a) loss caused to fisheries by pollution is an externality. B) Graph is attached
Explanation:
a) Externality is the cost benefit or loss to a 3rd party due to any activity that is not under its control. An exampe is pollution. In this scenario, losses to fisheries resulting from pollution by surf factory is an externality over. The pollution created by surfboard factory is not under the control of fisheries.
b) Graph is attached. As the production increases, Marginal Private Cost increases and Marginal Social Benefit decreses. Beyond Q2, Government intervention is requried
Answer:
The answer is unethical and illegal
Explanation:
Unethical behavior is an action that falls outside of what is considered morally right or proper for a person, a profession or an industry.
Embezzlement is a type of fraud, which is defined as a "knowing misrepresentation of the truth or concealment of a material fact to induce another to act to his or her detriment."
Answer: D. I, II, and III
Explanation:
If expecting a price deduction, you can buy Put options. These give you the right to sell an underlying stock at a certain price regardless of what the price in the market is. If you purchased this, you can sell your stock above market value if it does go down.
You can sell write call options for a fee where you give the buyer the right to buy your shares at a certain price in future. This is only valuable if prices rise so as you are expecting prices to fall, you could make a premium on the call option contract fees if prices fall without having to sell off your shares.
Hedging with puts is better than short calls if you are expecting a major stock price decline as the opportunity for profit is higher.
Answer:
1. Lower the interest rates in the economy.
2. Increase asset prices
Explanation:
Remember, increase in money supply looks at the total money made available in circulation in an economy. Alternatively it is called liquidation.
The real of an economy takes into consideration the impact of inflation on the value of goods and services produced in an economy.
Therefore lower interest rates as a result of increase in money supply would results in more consumption and borrowing.
While the price of houses, stocks would rise because of the increased money supply.
Answer: ANALYTICALS/ ANALYTICAL THINKERS
Explanation:
Analytical thinkers are known to use knowledge and facts to get to a decision. They prefer to know all they can about a subject before they comment on it and as such rarely jump to conclusions. They are usually introverted as well and prefer not to deal with others.
This is why it stands to reason that the prospect is an Analytical.
