Answer:
d. Has the company applied its rules, orders, and penalties evenhandedly and without discrimination to all employees?
Explanation:
The seven tests for Just Cause are the following:
- Adequate warning
- Reasonableness
- Completeness of investigation
- Objectivity of investigation
- Proof of infraction
- Uniformity of the rules application (option D refers to this specific Just Cause test)
- Reasonableness of discipline.
The Just Cause tests are used to determine if any disciplinary or termination action was fair, and not just because the employer or supervisor wants to.
Answer:
d. a comparative advantage in capital goods.
Explanation:
I'm not sure how these numbers should go, but I think it should be:
Capital Goods Consumption Goods
Ironbridge 32 40
Broseley 40 80
Ironbridge's opportunity cost to produce 1 capital good = 40 / 32 = <u>1.25</u> consumption goods
Ironbridge's opportunity cost to produce 1 consumption good = 32 / 40 = 0.8 capital goods
Broseley's opportunity cost to produce 1 capital good = 80 / 40 = 2 consumption goods
Broseley's opportunity cost to produce 1 consumption good = 40 / 80 = <u>0.5</u> capital goods
Ironbridge has a comparative advantage int he production of capital goods (lower opportunity cost) while Broseley has a comparative advantage in the production of consumption goods.
Opportunity costs refers tot he extra costs or benefits lost resulting from choosing one activity or investment over another alternative. In this case,, if Ironbridge wants to produce 1 capital good, it will have to forego 1.25 consumption goods.
Answer:
Suppose an American buys stock issued by an Argentinian corporation. The Argentinian firm uses the proceeds from the sale to build a new office complex. This is an example of foreign <u>PORTFOLIO INVESTMENT</u> in Argentina.
1. Which of the following policies are consistent with the goal of increasing productivity and growth in developing countries?
-
a. Protecting property rights and enforce contracts
- b. Providing tax breaks and patents for firms that pursue research and development in health and sciences.
Both A and B are essential for increasing economic growth. E.g. if Coke was not able to keep its formula secret in certain country, it will not engage in business there. Investment in R&D is essential for future economic growth.
2. In less developed countries, what does the brain drain refer to?
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a. The emigration of highly skilled workers to rich countries
Brain drain refers to the immigration of highly skilled workers from poor countries into rich countries. E.g. a doctor moves from mexico to the US because he/she can earn a much higher salary. But at the same time, all the money and time spent educating the doctor is lost by Mexico and its economy.
