The reason is <span>Marketing research is expensive.
</span>The established firm usually has a large amount of capital at its disposal, so they could do market research in order to strengthen their position.
Small business on the other hand, usually struggle to even barely continuing their operation for the next month.
Expected rate of return is defined as the amount of money an individual gets on investment.
<h3>What is expected return?</h3>
The expected return is the amount of profit or addition on money invested that an individual who is an investor is expected to get after a periods of time on the investment.
Therefore, expected rate of return is defined as the amount of money an individual gets on investment.
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Answer:
C. The federal government controls fiscal policy.
Explanation:
Fiscal policy are policies enacted by the government using its spending or taxes to stabilise the economy. There are two types of fiscal policy, expansionary and contractionary fiscal policy.
1. Expansionary fiscal policy is a policy that increases the money supply in an economy. They include :
A. Reduction of taxes - this increases disposable income and increases consumer spending which increases money supply.
B. Increased government spending- this is when government increases its spending usually on public projects.
2. Contractionary fiscal policy are policies that reduces the money supply in an economy. They include:
A. Increase in taxes- an increased tax reduces disposable income and money supply in an economy.
B. Reduced government spending - reduced government spending reduces money supply.
Monetary policy is policy controlled by the Federal Reserve.
I hope my answer helps you.
Answer:
Wages would fall due to an increase in labor costs.
When the workers compensation laws were not there, the employers only had to worry about one labor cost, that of paying their employees. With the introduction of worker's compensation, they then had to get insurance for their employees as well.
This led to an increase in the costs of labor which meant an increase in production costs and a decrease in profitability. To compensate for this, the employers cut wages in order to be able to pay for both the insurance and wages and still pay the same general amounts they were paying as wages such that their production costs don't rise significantly.
