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Assignment: Role of Advertising
Assume that you are going to start a small business of your own. Further, imagine that you are able to adequately differentiate your product, or service so that you can establish your business as a monopolistically competitive firm.
a. Describe the business and its likely main competitors.b. How would you structure your advertising and customer service to differentiate your product/service?c. How easy would it be for new competitors to enter your market and erode your customer base or selling price?d. What would be your prognosis for the long term profitability of such a business?e. What could you do to protect that long term profit stream?
Suppose for a moment that someone with legislative power decides to abolish Fractional Reserve Banking and passes a law that forces banks to only lend the money they own, that is M0. What would be the economy-wise implications of such a change in the..
Explain how much must government spending increase to eliminate the GDP gap.
A building is expected to generate no cash flows for several years and then generate annual cash flows forever. What is the value of the building if the first annual cash flow is expected in 7 years from today, the first annual cash flow is expected ..
An increase in the general price level will lead to:
In the victorian era after a dinner, the men would have gone on to the smoking room for alcohol and cigars, but what would the women do for the rest of the night? I would imagine they didn't stay the night, so did the women who didn't live in the hou..
Over the past seven weeks, we have explored the foundational concepts and principles of microeconomics, and we have applied them to the world around us. Choose one microeconomic concept applied in your final project. Explain your findings and the imp..
Determine the capitalized cost (CC) of the bridge using an i=10%. (Assume annual compound and CC is also called PW).
Suppose the real interest rate is 3%, the real growth rate is 2%, the money multiplier is 4, banking innovations are decreasing the demand for money by 1% per year and the money supply is growing at 10% per year. What should be the price of a T-bill ..
In 2013-2014, the nation was struggling with a persistent high level of unemployment, low rates of economic growth, and high federal budget deficits. Explain how solutions to these economic problems conflict with one another. If you were economic dic..
Human capital is the. One of the Ten Principles of Economics in Chapter 1 is that people face tradeoffs. The growth that arises from capital accumulation is not a free lunch. It requires that society. Other things the same, a country that increases i..
A country that does not tax cigarettes is considering the introduction of a $0.40 per pack tax. The economic advisors to the country estimate the supply and demand curves for cigarettes as: QD = 140,000 - 25,000P; QS = 20,000 + 75,000P, where Q = dai..
A perfectly competitive external market for the intermediate product exists, and an imperfectly competitive external market for the intermediate product exists.
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