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3 years ago

10

An externality arises when a firm or person engages in an activity that affects the wellbeing of a third party, yet neither pays

nor receives any compensation for that effect. If the impact on the third party is beneficial, it is called a_________________.

1 answer:

dlinn [17]3 years ago

4 0

Answer: It is called a Beneficial Externality

You might be interested in

Unions contribute to

Len [333]

Answer:

The correct answer is D: neither frictional nor structural unemployment

Explanation:

Structural unemployment is a form of unemployment where, at a given wage, the quantity of labor supplied exceeds the quantity of labor demanded because there is a fundamental mismatch between the number of people who want to work and the number of available jobs. It is generally considered to be one of the “permanent” types of unemployment, where improvement if possible, will only occur in the long run.

Structural unemployment is a longer-lasting form of unemployment <u>caused </u>by fundamental shifts in an economy and exacerbated by extraneous factors such as technology, competition, and government policy. The unemployed workers may lack the skills needed for the jobs, or they may not live in the part of the country or world where the jobs are available. Structural unemployment can last for decades and may need radical change to redress the situation.

<u>There is not a direct link between unions and structural unemployment. The main causes are economy shifts, lack of preparation, competiton (for example, factories moving overseas), government policy, technology shifts, etc.</u>

Frictional unemployment is the time period between jobs when a worker is searching for or transitioning from one job to another. It can be voluntary based on the circumstances of the unemployed individual. Frictional unemployment exists because both jobs and workers are heterogeneous, and a mismatch can result between the characteristics of supply and demand. Such a <u>mismatch can be related to skills, payment, work-time, location, seasonal industries, attitude, taste, and a multitude of other factors.</u>

There is always at least some frictional unemployment in an economy. Economists accept that some frictional unemployment is okay because both potential workers and employers take some time to find the best employee-position match.

<u>There is no direct contribution that unios made to generate or increase frictional unemployment. It causes are found in the description above.</u>

5 0

3 years ago

the burden of a tax falls entirely on sellers if group of answer choices the price elasticity of demand is unitary elastic the p

nadezda [96]

B) If the price elasticity of demand is zero, then all of the tax burdens fall on the sellers (perfectly inelastic).

<h3><u>How does price elasticity work?</u></h3>

A measure of a product's consumption change in response to a price change is called price elasticity of demand. Price elasticity is a tool used by economists to analyze how changes in a product's price affect its supply and demand. Supply has an elasticity similar to demand, and it's called the price elasticity of supply.

The relationship between a change in supply and a change in price is referred to as price elasticity of supply. By dividing the percentage change in quantity supplied by the percentage change in price, it is determined. What products are produced at what prices depends on the interaction of the two elasticities.

Learn more about price elasticity with the help of the given link:

brainly.com/question/13565779

#SPJ4

8 0

1 year ago

Bob got a 30 year Fully Amortizing FRM for $1,500,000 at 4%, except with non-constant payments. For the first 2 years Bob will p

ikadub [295]

Answer:

$1,593,535.83

Explanation:

Future Value of mortgage determines the future value of a mortgage after payments have been made, at a regular frequency, charged a regular rate of interest, compounded at payment dates.

DATA

PV = $1,500,000

N = 24

r = 0.04/12

PMT = $1250

FV =?

Solution

PV = (PMT/r)*[1 – 1/(1 + r)^N] + FV/(1 + r)^N

1,500,000 = (1250/(0.04/12)) * (1 – 1/(1 + 0.04/12)^24) + FV/(1 + 0.04/12)^24

1,500,000 = 28785.31353687 + 0.92323916 FV

FV = (1,500,000 - 28785.31353687)/ 0.92323916

FV = $1,593,535.83

5 0

3 years ago

Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $81,400.

ivann1987 [24]

Answer:

$7,326

Explanation:

Double Decline Balance = 2 x SLDP x SLDBV

where,

SLDP = Straight Line Depreciation Percentage

= 100 ÷ useful life

= 100 ÷ 20

= 5 %

and

SLDBV = Straight Line Percentage Book Value

Year 1

Double Decline Balance = 2 x 5% x $81,400

= $8,140

Year 2

Double Decline Balance = 2 x 5% x ($81,400 - $8,140)

= $7,326

Therefore

The machine's second-year depreciation using the double-declining balance method is $7,326.

4 0

3 years ago

If we assume that both countries specialize according to their comparative advantage, then how do we find a terms of trade that

levacccp [35]

Answer:

The best way to find terms of trade that will ensure that two entities are in the best terms of trade will be to look at the opportunity costs of the various products they produce.

A high opportunity cost in one product relative to that of the other entity means the entity with the higher opportunity cost should be trading with the entity with the lower opportunity cost and vice versa.

For example, assume that an entity "A" produces both rice and beans whilst an entity "B" also produces rice and beans too.

If the opportunity cost to A of producing Beans is 300 bags of rice whilst the opportunity cost to B of producing Beans is 120 bags of rice, and the opportunity cost to A of producing rice is 180 bags of beans whilst it is 250 bags of beans to B, the principles of comparative advantage require that A should focus more on producing rice and purchase beans from B whilst B should focus more on producing beans and purchase rice from A.

Cheers!

4 0

3 years ago