All categories

2 years ago

Economic growth and public policy

Business

1 answer:

Ivan2 years ago

8 0

Answer:

a. Foreign Portfolio Investment

b. a. Provide tax breaks and patents for firms that pursue research and development in health and sciences.

d. Protect property rights and enforce contracts.

Explanation:

This is an example of Foreign Portfolio Investment (FPI). Foreign portfolio investment is when an entity from a foreign country invests in another country by buying the shares of a company in the local country. The American company bought shares in Argentina so the qualifies as FPI.

To increase productivity companies that are pursuing research should be given patents and tax breaks. The tax breaks will enable them have more money to reinvest into the research and the patent will provide incentive to them to continue the research knowing full well that they will be compensated by being the only ones to be able to use the technology invented for some time.

Also protecting property rights and enforcing contracts encourages investment in a country because people will be more trusting of making a return from business dealings. Higher investment leads to more productivity and growth.

You might be interested in

Dave's Auto Supply custom mixes paint for its customers. The shop performs a weekly inventory count of the main colors used for

Elenna [48]

Answer:

sry I just wanted the points I'm in middle school so I don't know this stuff either but can you give free brainlyest I'm soo close to my next rank I'd really appreciate it if you would

5 0

2 years ago

A group in an overall market whose members have something in common is called a <br> ______.

andrey2020 [161]

Answer:

market segment

Explanation:

A market segment is a group of people in a homogeneous market who share common marketable characteristics.

3 0

2 years ago

Determine the formula, then calculate ending direct materials total cost.

forsale [732]

<span>Fortunately, this is a simple calculation to compute; use the value of your starting direct materials inventory, your direct materials purchased and your direct materials used to find the ending inventory of direct materials.</span>

8 0

2 years ago

1) Monopolies and monopolistically competitive firms differ in that monopolies:

miv72 [106K]

Answer:

1. b) different their products,

2.a) face competition from many other firms ,

3. c) participate in markets where barriers to entry are present,

4. b) Within walking distance from your home, there are a plethora of fast-food restaurants including Koala Express, Cabo Bob's Burritos, Oodles of Noodles, and Hanzo's Hearty Hamburgers

Explanation:

The monopolies and the monopolistically competitive firms differ in terms of the monopolies as on the process of the differentiation.

The firm n the monopolistic competition differs from the perfect competition based on they are price takers and the monopoly is price makers.

An oligopoly market is a small number of relatively larger firms. where significant barriers to entry exist.

The example of the monopolistic competition exists in the firm of the restaurant business. Hotels and pubs.

6 0

2 years ago

McConnell Corporation has bonds on the market with 16.5 years to maturity, a YTM of 6.3 percent, a par value of $1,000, and a cu

muminat

Answer:

6.52%

Explanation:

Yield to maturity is the annual rate of return that an investor receives if a bond bond is held until the maturity.

As per Given Data

Face value = F = $1,000

Selling price = P = $1,036

Number of periods = n = 16.5 years x 2 = 33 periods

Yield to maturity = [ C + ( F - P ) / n ] / [ (F + P ) / 2 ]

As we have the YTM, We need to calculate the Coupon Payment using YTM formula.

6.3% = [ C + ( $1,000 - 1,036 ) / 33 ] / [ ( $1,000 + 1,036 ) / 2 ]

6.3% = [ C - $1.09 ] / $1,018

C - $1.09 = $1,018 x 6.3%

C - $1.09 = $64.134

C = $64.134 + 1.09 = $65.224

Coupon Rate = 65.224 / $1,000 = 0.065224 = 6.5224%

3 0

2 years ago