Reference no: EM133495412
Question
1. Select a product of your interest, which must be simultaneously manufactured or produced by a small artisan company in Mexico, as well as by a company in a developed or first world country.
It briefly outlines the history of both companies through a timeline, developed in a digital tool, and explains in a paragraph how they have contributed to the economy and society.
2. Based on the selected product, you must determine which are the factors of production that are used in companies both in Mexico and in the chosen country (five from each country). Establish at least three factors of production that represent advantages in both countries.
It is important that you establish the importance of the factors of production that predominate in each country.
3. Explain the economic system in which each of the countries develops, what are the 10 advantages and 10 disadvantages that appear in their economic systems (mention them clearly and specifically) and how they affect the process of production.
4. Investigate what the inputs are (raw materials, manufacturing tools, technology, among others), everything that your production process implies. Mention at least 15 tools or supplies.
Explain what it means that the selected product in one country is produced with more technology than in another.
5. Mention the opportunity cost of making the chosen product in Mexico and in the other selected country.
6. Investigate the prices, the quantity demanded (purchased) and the quantity supplied (produced) of the selected product during the last two years in both countries. Integrate them into a table and make a graph that represents their supply and demand in both countries. Make a comparison and determine whether or not the prices at which the products are sold are appropriate or whether you think they should have a higher or lower price. Justify your answer.
7. Based on the prices investigated in the previous point, select the three most recent prices of the selected product from each country and assume that the price of the product increases by a further 10%. Calculate the price elasticity of demand for the selected product and establish what type of elasticity it presents.