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Romashka-Z-Leto [24]
3 years ago
5

Why might an economist favor activist policies in developed countries and laissez-faire policies in developing countries

Business
1 answer:
Maslowich3 years ago
5 0

Answer:

One of the main economic issues in developing countries is rampant corruption or extremely inefficient government institutions. This means that less government intervention is always better in developing countries.

On the other hand, in developed countries, the checks and balances system exists within government institutions and even though corruption may exist, it is not as widely spread. The most severe economic problem in developed countries is inequality and huge economic actors. This is why activist policies may be necessary in developed countries, at least in certain economic sectors.

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Angell Inc. hired you as a consultant to help them estimate their cost of capital. You have been provided with the following dat
DIA [1.3K]

Answer:

Option (D) is correct.

Explanation:

Given that,

Dividend, D0 =$1.20

Price, P0 = $50.00

Growth rate, g = 6% (constant)

Based on the DCF approach, then

Cost of Equity:

= [D0 × (1 + g) ÷ P0] + g

= [(1.20 × (1 + 0.06)) ÷ 50] + 0.06

= (1.272 ÷ 50) + 0.06

= 0.02544 + 0.06

= 0.08544 or 8.54%

Hence, the cost of equity from retained earnings is 8.54%.

3 0
3 years ago
Suppose you purchase five put contracts on Testaburger Co. The strike price is $45, and the premium is $3. If, at expiration, th
andriy [413]

Answer:

3000

1500

Explanation:

For each of the answers in this question I have added the formulas to solve them in the attachment below

1.

(45-39)*5*100

= 3000

2.

(45-39)-3 x5 x100

= $1500

7 0
3 years ago
Lili spent $120 on a new sweater rather than using this money to buy her personal finance textbooks. The cost of doing without t
Serjik [45]

Answer:

opportunity cost

Explanation:

The opportunity cost is the cost that is incurred for purchasing any other thing in place of one thing or we can say it is a sacrification done to purchase another thing

Here in the question it is mentioned that the Lil spent $120 for purchasing a new sweater instead of buying her finance textbooks also the cost of buying the sweater is known as the non doing textbooks cost

So here it is a opportunity cost

5 0
3 years ago
"A service called Prizm posits that MBAs who live in New York have a lot more in common with their counterparts in London, Saö P
d1i1m1o1n [39]

Answer:

This type of argument ties to make a connection between people living in different parts of the world using both geographic and demographic variables. The geographic variables are the foreign cities (London, Sao Paulo, and Tokyo) and the demographic variables would be the education and income levels (wealthy MBAs).

6 0
3 years ago
Which of the following statements is true of low customer contact businesses? a. Customer access is relatively important when co
Neko [114]

Answer:

the answer is B

Explanation:

why ? most of the company's care about the customer , but it depends how big is their market and also what they are offering , so the small restaurants or even dry cleaners , their business are not without huge demand , the customer and the restaurant have a low contact, or the usually use a complaints and claims box where the customer can express your opinion of the restaurant service.

3 0
3 years ago
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