1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
SVEN [57.7K]
3 years ago
7

Suppose that a cafe enjoys a large increase in customers whenever the jazz club next door features a band playing appealing musi

c because it can be easily heard from the cafe. The jazz club owner decides to purchase the cafe so that he can internalize this positive externality. Which of the following types of private solutions to the externality of appealing music has occurred in this case?
a. Contracts
b. Charities
c. Moral codes and social sanctions
d. Integration of different types of businesses through merger or acquisition
Business
1 answer:
ExtremeBDS [4]3 years ago
7 0

Answer:

D. Integration of different types of businesses through merger or acquisition

Explanation:

Externalities occur when the production or consumption of a particular good or service affects a third-party who is not related to the transaction. A positive externality is one that is favorable and beneficial to the third party and a negative externality is one that is unfavorable and creates a cost to the third party. In this case, the third party is the owner of the cafe and it is a positive externality because the music creates an increase in the number of customers to his/her business.

When the jazz club owner purchases/acquires the cafe, the cafe becomes his. Hence, the benefit felt to the cafe by the music from the jazz club is a benefit that his own new business incurs. Thus, the integration of these two businesses into one helps internalize the positive externality since now the main party involved in the transaction is also the one feeling the positive externality and not a third-party as used to be.

You might be interested in
Why would you want to let your boss know if you are having personal struggles at home?
quester [9]
The best answer is a
4 0
3 years ago
Read 2 more answers
In the course of creating an effective business message, excellent business thinkers are most likely to
Irina18 [472]

Answer:

a) make well-reasoned conclusions and solutions ; & b) begin jotting down a rough draft right away to capture their ideas.

Explanation:

Effective Business message should be - complete, clear, concise, concrete, correct, courteous, coherent.

Rough draft is good for brainstorming & initial preliminary creation stage of business message. After having a bunch of ideas : its important to well arrange them in a coherent, clear way & giving complete, concise structure. This implies better understanding of conclusions, solutions.

4 0
3 years ago
Why does howe avoid using the term "market revolution?" What evidence does he cite to promote his avoidance? What term does he s
KIM [24]

Since the expansion that followed the War of 1812 was more of an ongoing evolution than a sudden revolution, Daniel Walker Howe avoids using the term "Market Revolution" and there is evidence that a market economy already existed and had been established in the American colonies in the 18th century.

Since communication significantly improved starting around 1815 compared to earlier decades, he advocates using the term "communication revolution" to describe the early nineteenth century.

Finally, retorts Howe, the revolution that really mattered was the "communications revolution": the invention of the telegraph, the expansion of the postal system, improvements in printing technology, and the growth of the newspaper, magazine, and book-publishing industries, and the improvements in higher-speed transportation. Howe responds that the "communications revolution," which included the development of the telegraph, the expansion of the postal service, advancements in printing technology, the expansion of the newspaper, magazine, and book publishing industries, as well as the development of faster transportation, was the revolution that truly mattered.

To know more about market revolution here,

brainly.com/question/8679631

#SPJ4

4 0
2 years ago
In recent decades, the average level of skills and training possessed by immigrant workers has: A. increased. B. decreased. C. r
Gwar [14]
The average level has increased A
5 0
3 years ago
On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $40,000 in cash and giving a short-term n
Norma-Jean [14]

Answer:

See below

Explanation:

The cost of land to be included in the balance sheet would not only include the price paid to acquire the land but also include cost or revenue received in the process while also include all activities required to bring the land to the stage in which it may be ready for usage.

With regards to the foregoing, the cost of land to be included in the balance is is

= Cash paid + short term note + legal fee + delinquent taxes + Fees paid to remove old building from the land - sales of materials salvaged from demolition of the building

= $40,000 + $306,000 + $1,665 + $13,100 + $22,500 - $5,200

= $378,065

Therefore, cost of land to be included in the balance sheet is $378,065

3 0
3 years ago
Other questions:
  • Doss is vice president of marketing research for General Mills. The chefs at General Mills bring three new cookie recipes to Dos
    6·1 answer
  • The following transactions occurred during December 31, 2021, for the Falwell Company. A three-year fire insurance policy was pu
    12·1 answer
  • What happens if you are non-compliant iso-9000 regulations?
    7·1 answer
  • Selling a good at a price determined by the intersection of the demand curve and the marginal cost curve is consistent with the
    14·1 answer
  • What is the first step you would take to create a table of authorities?
    8·2 answers
  • Using the year-end information for each of the following six separate companies ($ thousands):
    13·1 answer
  • There are only four types of insurance; health, life, homeowner's, and automobile insurance. true or false
    7·2 answers
  • Don is overwhelmed in his leadership role at work. there are a number of important projects going​ on, all of which have deadlin
    12·1 answer
  • Now suppose we impose a 20% tax on earnings minus labor costs (as discussed in class). In addition, the government introduces ta
    8·1 answer
  • "In 2020, a customer buys a 3% U.S. Government bond maturing in 2024 at 102. The customer elects to amortize the bond premium fo
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!