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musickatia [10]
3 years ago
13

Match each of the following characteristics or scenarios with either the term negative externality or the term positive external

ity. a. Overallocation of resources: . b. Tammy installs a very nice front garden, raising the property values of all the other houses on her block: . c. Market demand curves are too far to the left (too low): . d. Underallocation of resources: . e. Water pollution from a factory forces neighbors to buy water purifiers: .
Business
1 answer:
lawyer [7]3 years ago
3 0

<u>Answer:</u> a. Negative externality  

b.Positive externality  

c.Positive externality  

d.Positive externality  

e.Negative externality

<u>Explanation:</u>

Positive externatility are the advantages which the people enjoy apart from the marketplace for which they do not pay any money. Negative externality means negative consequences faced by the people outside due to the activities of the firm.

A.In the scenarios given above when resource are over allocated the public resources are depleted and creates negative externality  .

B. Tammy's case by raising garden increases the value of the public property which is positive externality.

C.Market demand is low so prices are low it is positive externality..

D.When resource are under allocated the public resources are not depleted and creates positive externality  .

E. Water pollution affects public and creates negative externality  . .

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In an effort to increase customer loyalty, management at Phat International has worked to create a personaldialogue with their c
IRISSAK [1]

Answer: Relationship Marketing

Explanation:

Relationship marketing is a form of marketing where a business tries to create a lasting bond with their customers, done by constant communication with their customers to get feedback of their products/ services.

Phat International is making use of dialogue with their customers to create more loyal customers which is a form of relationship marketing.

3 0
3 years ago
Rory Company has a machine with a book value of $75,000 and a remaining five-year useful life. A new machine is available at a c
Alborosie

Answer: $7,500

Explanation:

In calculating the Incremental income we will add the amount of variable Manufacturing costs Rory Company will save as well as the income they will get from selling the old machine and then subtract the cost price of the new machine.

Starting off we will calculate the amount of savings they will make by using the new machine,

= $12,000 x 5 years

= $60,000

Calculating the Incremental income therefore we have,

= 60,000 + 60,000(from selling old machine) - 112,500 (cost of new machine)

= $7,500

The incremental income of buying the new machine is $7,500.

If you need any clarification do comment.

5 0
3 years ago
Consider the multi-factor APT with two factors. The risk premiums on the factor 1 and factor 2 portfolios are respectively 5% an
Llana [10]

Answer:

Option (B) 5.5%

Explanation:

Data provided in the question :

Factor             Risk premium

Factor 1               5%

Factor 2              3%

Beta of stock A on factor 1 = 1.4

Beta of stock A on factor 2 = 0.5

Expected return = 14%

Now,

Expected return

= Risk free rate + (Beta of factor 1 × Risk premium of factor 1) + (Beta of factor 2 × Risk premium of factor 2)

or

14% = Risk free rate + (1.4 × 5%) + (0.5 × 3%)

or

14% = Risk free rate + ( 7% + 1.5% )

or

Risk free rate = 5.5%

Hence,

Option (B) 5.5%

6 0
3 years ago
It usually takes less time to buy a six-pack of Pepsi, a loaf of bread, and a bag of potato chips at a small convenience store (
Marrrta [24]

Answer:

a person who works at a full-service grocery store

8 0
2 years ago
Individuals who want to work, but have given up searching for a job because of limited prospects, are known as.
Iteru [2.4K]

Individuals who want to work, but have given up searching for a job because of limited prospects, are known as discouraged workers.

<h3>Who are discouraged workers?</h3>

Discouraged workers are labour who are above 18 years and below 60 years but have given up on ever finding a job and thus are not actively searching for a job.

Discouraged workers are not counted as part of the labour force and they are not considered to be unemployed.

To learn more about unemployment, please check: brainly.com/question/10940465

6 0
2 years ago
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