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4 years ago

When economists adopt a market-oriented strategy to deal with pollution?

Business

1 answer:

blsea [12.9K]4 years ago

6 0

Answer: They raise the cost of pollution to discourage it.

Explanation:

Under the market oriented approach the forces of demand and supply determine the optimum quantity of a good and the price at which the good must be traded. The price gives us information on the relative scarcity of the good. When pollution is free, businesses will produce a large amount of it. However, when market oriented approach is used, the demand for pollution coming from the society as a whole interacts with the supply of pollution created by the various business and consumption activities. The intersection of this determines the price for pollution and the optimum quantity of pollution. Thus, pollution is not free anymore, it has a cost which is the price of pollution. Thus, the market oriented approach increases the cost of pollution to reduce the level of pollution.

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IBM wants to issue new 20-year bonds. The company currently has 8.5 percent bonds with face value of $1000 on the market that se

alexandr1967 [171]

Answer: 8.62%

Explanation:

Based on the information given, the coupon rate on the new bonds if the firm wants to sell them at par will be calculated thus:

The following information can be gotten from the question:

Par Value = $1,000

Current Price = $994

Time to Maturity = 7 years

Annual Coupon Rate = 8.50%

Semiannual Coupon Rate = 8.50%/2 = 4.25%

Semiannual Coupon = 4.25% × $1,000 = $42.50

Semiannual Period to Maturity = 7/½ = 14

Let the semiannual Yield to maturity be represented by x Therefore,

994 = 42.50 × PVIFA(x, 14) + 1,000 × PVIF(x, 14)

Then, we'll use the financial calculator where,

N = 14

PV = -994

PMT = 42.50

FV = 1000

Based on this, the value of x will be 4.308%.

Since the Semiannual YTM is 4.308%, then the Annual YTM will be:

= 2 × 4.308%

= 8.616%

= 8.62%

Therefore, the coupon rate should be 8.62%

8 0

3 years ago

Sometimes a risk assessment report is prepared for a specific IT project at the request of the project manager, either because i

irina [24]

Answer:True

Explanation:

The security assessment report is the documents written by independent assessors after they have finished performing security testing on the system. This report focuses on risk to the system and its networks, applications and facilities. With all these aforementioned points, it can be prepared specifically for IT project at request.

4 0

4 years ago

The development policy based on encouraging economic growth via exports of goods and services, usually starting with light manuf

evablogger [386]

Answer:

Export led growth

Explanation:

Export led growth

Export led growth is a business strategy used by developing countries in order to export goods that selling consist of major advantages to economy.

Export led growth is sometimes defined as export led industrialization that aim to expand industrialization process not in same country but in foreign country too.

The countries that inherit the export led growth are Singapore, china, Vietnam etc. They have high trade-GDP ratio which evaluate total trade value with respect to GDP.

4 0

3 years ago

Quickie Inc., a perfectly competitive firm, currently maximizes profit by producing 400 units of output. If its marginal cost is

jeka94

Answer:

economic profit = $2000

Explanation:

given data

currently maximizes profit = 400 units

marginal cost = $25

average total cost = $20

to find out

earning economic profit

solution

first we get here Total revenues that is express as

Total revenues = currently maximizes profit × marginal cost

Total revenues = 400 × $25

Total revenues = $10000

and Total cost will be

Total cost = currently maximizes profit × average cost

Total cost = 400 × $20

Total cost = $8000

so economic profit will be

economic profit = Total revenues - Total cost

economic profit = $10,000 - $8,000

economic profit = $2000

8 0

3 years ago

Small populations are subject to changes in allele frequencies simply due to random chance, such as the accidental death of an i

Fantom [35]

<span>Small populations are subject to changes in allele frequencies simply due to random chance, such as the accidental death of an individual. This process is known as genetic drift.
Genetic drift refers to some changes in the gene variant (allele) which leads to survival or death of a certain organism.
</span>

6 0

3 years ago