Answer:
The government agency is providing basic and/or essential services that further deepen the interests of members of the public
Explanation:
The assertion that a firm with a monopoly power loses it freedom of contract is very true. Monopolies by its realities come with features that ultimately cater for the interests of the firm, instead of the consumers. One of these is charging an astronomical high price on a particular item of commodity, and not taking cognizance of the purchasing power of the public. A firm could to this, and ultimately get away because its the only delivering such services - the one with the enormous monopoly power. Here, there is no stiff competition among goods that may offer liberty of choices to ordinary consumers.
To mitigate these numerous power of monopolies, governmental body has been giving the power to regulate and maintain an oversight functions. They now determine the provisions of contracts. The main objective of government agency, thus, is to ensure a firm with a monopoly power considers the basic and essential interests of the members of the public - the end users. Here, members of the public are insulated from unnecesary exploitation by the monopolies.
Answer:
C. moral hazard.
Explanation:
Moral hazard -
It is the condition , where the person take more risk , as he or she is aware that someone else need to bear the risk , is known as moral hazard .
In this case , one of the party can change the damage of other after any type of monetary transaction has occurred .
Hence , from the question ,
The statement given in the question , is about Moral hazard .
Answer:
The answer is: Following the expected value criterion the investor should choose indistinctively between the conservative or neutral alternatives.
Explanation:
The formula we use to calculate the expected return value of the different alternatives is:
ERV = ∑ (expected return x probability of occurrence)
The conservative alternative has an expected return value of of 4.5%
ERV Conservative = (6% x 25%) + (4% x 75%) = 4.5%
The neutral alternative also has an expected return value of of 4.5%
ERV Neutral = (12% x 25%) + (4% x 75%) = 4.5%
The aggressive alternative has an expected return value of of -1%
ERV Aggressive = (20% x 25%) + (-8% x 75%) = -1%
True, I believe so if not then correct me.
Strategic alliances generally include the risk of one partner will make advantage of the other's information to strengthen its own competitive position.
A strategic alliance is an agreement between two businesses to work together on a project that will benefit both parties while maintaining their individual freedom. Compared to a joint venture, which sees two companies combine resources to form a new company, the arrangement is simpler and less legally enforceable.
The collaboration between Spotify and Uber is a well-known example of a strategic alliance. Due to their strategic partnership, Uber customers may log in to Spotify and listen to their favorite music while riding.
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