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3 years ago

When external benefits are present in a market?

1 answer:

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When external benefits are present in a market INEFFICIENCY MAY ARISE, BECAUSE POTENTIAL PRODUCERS ARE UNABLE TO CAPTURE FULLY THE BENEFITS THAT THEIR ACTION CREATE FOR OTHERS. This may cause the producers to produce just a little of this product.

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Suppose that a 10 percent increase in the physical capital stock increases GDP by 10 percent. Nowconsider an additional 10 perce

Artyom0805 [142]

Answer:

B. Less than 10%

Explanation:

An addition increase by 10 % in the physical capital stock (which is a factor of production consisting of man made goods like machineries and so on) will lead to a less than 10% increase in the Gross domestic product. This is due to the law of diminishing marginal utility which talks about the consumption increases marginal utility from each additional unit declines. Thus, the more the physical capital stock increases, the GDP will increase at a decreasing rate.

7 0

3 years ago

Anyone has documents about the increasing importance of global production networks in the textile and clothing industry?

svetoff [14.1K]

Answer:

The Global Textile and

Garments Industry:

The Role of Information

and Communication

Technologies (ICTs)

in Exploiting the

Value Chain

Information and Communication

Technology (ICT) has an important role

to play as developing countries adjust

to the new era. These opportunities will

derive from the ability of ICTs to open

up parts of the supply chain (other than

basic manufacturing and processing)

to developing countries. This report

presents case studies of companies that

have successfully used ICTs to move,

for example, into higher-value activities

such as design and logistics, or to

access niche markets

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2 years ago

Has a government monopoly in home mail delivery, but several private companies, such as fedex, ups, and dhl, compete with:____.

Katena32 [7]

Has a government monopoly in home mail delivery, but several private companies, such as FedEx, ups, and DHL, compete with <u>USPS</u>.

The government affords public offerings just like the railways. subsequently, they are a monopolist due to the fact new companions or privately held groups aren't allowed to run railways. but, the fee of the tickets is affordable so most people can use public shipping.

The government affords public offerings like the railways. hence, they're a monopolist because new companions or privately held businesses are not allowed to run railways. however, the fee for the tickets is cheap so most people can use public shipping.

As a result, absolutely is certainly one of the biggest monopolies in present the global. The enterprise, in reality, monopolizes several other different markets within the globe.

Learn more about monopoly here brainly.com/question/13113415

#SPJ4

5 0

1 year ago

Cause and effect what is likely to happen when consumers hear reports that make them worry about a products safety ? Explain the

saul85 [17]

The demand of that product decreases only the few who can afford will purchase and the cause of higer prices on aproduct may b due to increement in taxes on acommodity by the gov't

4 0

3 years ago

Read 2 more answers

Due to a recession, expected inflation this year is only 3.75%. However, the inflation rate in Year 2 and thereafter is expected

Solnce55 [7]

Answer:

5.25%

Explanation:

To calculate the inflation for the year 3, we will have to calculate the yield on 1 Year treasury bond.

The yield is calculated using the following formula:

Nominal Yield on Bond = Real risk free rate + Inflation for the year

Here

Inflation for Year One is 3.75%

Real Risk-Free Rate is 3.5%

Nominal yield on bond is Y for year 1

By putting values, we have:

Y = 3.5% + 3.75% = 7.25%

For 3 years treasury bond,

Nominal Yield on Treasury Bond for 3 years = Yield on year 1 + Inflation

Y3 = 7.25% + 1.5% = 8.75 %

Now if we deduct the real risk free rate from the 3 year yield on the treasury bond, then the resultant rate would be the inflation rate for the year 3.

Inflation Rate for Year 3 = Y3 - Real Risk-Free Rate

Inflation Rate for Year 3 = 8.75% - 3.5%

Inflation Rate for Year 3 = 5.25%

4 0

3 years ago