Tag: Economics

I’m working on a finance discussion question and need a sample draft to help me study.

Initial Post:

• Consider the following scenario:
  • You spend an extra $50 a month using a credit card for the first year after graduation to make ends meet.
  • The interest rate charged by the credit card company is 18%.
  • The minimum payment you are required to send each month is $20.
• Now consider the real cost of that $50 dollars a month by the end of that first year provided to you in the exercise.
  • How might the continued use of a credit card to fund an extra $50 of spending per month affect your long-term financial health?
  • Describe two ways you could avoid the long-term consequences of spending more than you have on a regular basis.

Please be sure to validate your opinions and ideas with citations and references in APA format and in-text citations.

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Peer response (attached document):

• Consider your peer’s thoughts on what to remove or reduce to make the same monthly payment? In what ways does your response differ from theirs?
• Share with your peer why you feel the car loan they would have to repay might or might not be worth their proposed sacrifices.
• Suggest an additional option they could consider to avoid taking on that monthly car payment.

nternational trade can have big effects on domestic markets. For both an import good and an export good (in other words, address each bulleted item below twice—once for import and once for export), describe how opening up to international trade affects the following:

• supply or demand for the particular good,
• the competitiveness of that good’s market, and
• how the change in competitiveness affects equilibrium price and quantity.

Stepping away from the import/export examples, describe how opening up to trade specifically affects a domestic monopoly. Include an explanation, using game theory, of how even a single additional competitor can lead to a market outcome similar to perfect competition.

Your essay must be at least three pages in length (not counting the title and references pages) and include at least three peer-reviewed resources. Adhere to APA Style when writing your essay, including citations and references for sources used. Be sure to include an introduction. Please note that no abstract is needed.

Question 1(Does not need to be in APA format and doesnt need to be long)

Incorporate the concepts of game theory with international trade and tariffs. Set up two payoff matrices. Set up the first payoff matrix such that the outcome will be harmful to both countries. Set up the second payoff matrix such that the outcome will be beneficial to the United States. Evaluate the two matrices using current actions by each country to see which matrix is most likely correct. Discuss with your classmates whether or not the ensuing trade war will produce successful outcomes.

Question 2(Does not need to be in APA format and doesnt need to be long)

Identify a good you commonly use or would like to use. Explain at least three factors that would result in a shift in the demand curve for that good and three factors that would result in a shift in the supply curve for that good. Describe the effect on equilibrium price and quantity of each factor. Finally, explain how the shifts in demand and supply are different from movements along the demand curve or movements along the supply curve and why the distinction is important.

Question 3 (Does not need to be in APA format and doesnt need to be long)

Explain the different types of price discrimination. Then identify a real-world example of price discrimination (preferably not one from the unit lesson), and explain which type of price discrimination it is. Next, using the good from your own chosen price discrimination as an example, illustrate how the good fits the criteria necessary for successful price discrimination. Finally, discuss how the price discrimination example leads to an increase in total benefit to society. Include in your discussion an evaluation of the effects on people paying the higher price and the effects on people paying the lower price.

Answer question in own word, graph and data analysis please

The focus of the analysis should be on the Canadian economy though given the importance of contribution to the crisis, you can incorporate the United States into the analysis.

I need support with this Economics question so I can learn better.

Describe an investment decision you or your company has made. Compute the opportunity costs and benefits of the decision. Did your company make the right decision? If not, what would you do differently? Compute the NPV of the investment.

Describe two activities inside your organization, or one inside and one outside your organization, that exhibit economies (or diseconomies) of scope. Describe the source of the scope economies. How could your organization exploit the scope economy or diseconomy? Compute the profit consequences of the advice.

2. Describe a pricing decision your company has made. Was it optimal? If not, why not? How would you adjust price? Compute the profit consequences of the change.

A Case Analysis of Uber

Uber is a ride-sharing service started in 2009. If you are not familiar with Uber, you can learn more about the services it provides at Uber.com.

Construct an eight-page analysis of Uber using the following criteria.

• Analyze the market before Uber’s entry. Describe the inefficiency Uber exploited.
• Explain Uber’s surge pricing in the context of shifts in supply and demand.
• Evaluate Uber’s surge pricing in the context of price discrimination.
• Apply the concepts of economies of scale and economies of scope to Uber’s business model.
• Apply the concepts of game theory to Uber’s market.
• Assess Uber’s potential for international expansion and potential trade policy issues.
• Explain the incentive pay model Uber uses and how it affects the principal-agent problem.
• Discuss any asymmetric information issues with Uber’s business model.

A challenge faced by firms in deciding what opportunities to pursue with their limited resources is that the sacrifice of limited resources is made in the present, but the hoped-for rewards do not arrive until some time or times in the future. In order to evaluate these in the decision-making process, discounting is used, which is the process of translating future cash flows into today’s equivalent amounts. Doing this accurately, as you will see in this week’s learning, is a very desirable and valuable skill to develop and apply.

In setting or changing the prices of goods and services being sold, firms need to start by estimating their demand. This by itself can be a particularly challenging process, especially for new goods and services and those inhabiting fast-changing environments. To start, we have individual demand. This is the amount that a person or organization will purchase at a particular price. Then there is aggregate demand. This is the total that will be purchased by all parties at a specific price. If marginal revenue is more than marginal cost, the price should be increased (eventually reducing demand). If marginal revenue is less than the marginal cost, the price should be decreased (this increases demand). The goal of all of this is to maximize total revenue at the point where the price of one more unit sold is equal to its cost, which means that marginal revenue and marginal cost are the same.

Anybody who goes to the gym and does lots of ambitious sets with increasing heavyweights will experience what economists call diminishing returns. This occurs when the marginal productivity decreases. In a firm, this means the extra outputs associated with extra inputs go down. At different points in the production and sales processes, varying levels of costs and revenues per unit are experienced. The goal in evaluating these when decisions are made, such as the terms of sales contracts, is to make sure we avoid terms that lead to losses and identify terms that maximize the benefits we experience. In doing this, it is important to have an understanding of economies of scale and economies of scope, along with techniques for how costs can be decreased and productivity can be increased to the maximum amounts possible.

Learning assignment

Discuss the role of compounding and discounting.

A firm’s capital structure depends on the mix of financing sources. Management needs to consider the risk (e.g., bankruptcy) against the benefits (leverage) of financing. Two ways to do so are finding the breakeven quantity and analyzing the effects of leverage.