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In August 2010, Samsung announced a "Free the TV" apps contest, where it offered prizes between $1,000 and $200,000 each, plus a 3DTV, Blu-ray player and starter kit for each of the 14 winners in the contest. The goal of the contest was to attract independent developers to submit apps for Samsung's HDTV-based App Store. Even though Samsung is one of the leading manufacturers of HDTVs and makes a lot of money in selling this high growth item, why did it choose to make this substantial investment in offering prizes to developers? Draw on the concepts and frameworks presented so far in the course to inform your answer
In the late 1990s, the federal Minister of Finance announced that expenditures would rise, yet he still predicted that the budget surplus would increase. How is it possible that in the face of rising expenditures the budget surplus may increase? Unde..
Jane has 3 liters of drinks and 9 sandwiches. Bob on the other hand has 8 liters of drinks and 4 sandwiches. With these endowments, Jane’s MRS DS is 4 and Bob’s MRS DS is equal to 2. Draw an Edgeworth box diagram to show whether this allocation of re..
Summarize the most impactful external opportunities and threats that have recently affected MCM.
As a Manager, your goal is to maximize profit of your business. Assume you are in charge of managing your company's costs - you are the Controller of Accounts.
q1. consider the supply curve qs 4p. what happens to the price elasticity of supply along the curve as the quantity
Your firm’s research department has estimated the income elasticity of demand for Art Deco lawn furniture to be -0.85. You have just learned that due to an upturn in the economy, consumer incomes are expected to rise by 5 percent next year. How will ..
Why isn't the price elasticity of demand written as a negative number?
Consider the model of land assembly (under the topic Eminent Domain). Suppose, at each stage of negotiation between the property owners and the buyer, the owner can extract α fraction of the net total surplus/gains from transaction at hand. (Note: th..
A machine costing $35,000 to buy and $4,000 per year to operate will save mainly labor expenses in packaging over six years. The anticipated salvage value of the machine at the end of the six years is $5,000. To receive a 12% return on investment (ra..
A firm sells its product in a perfectly competitive market where other firms charge a price of $70 per unit. The firm’s total costs are C(Q) = 50 + 10Q + 2Q2. How much output should the firm produce in the short run? units. What price should the firm..
Illustrate what impact might such a reduction in purchases of U.S. treasury securities have on the cost of short- also long-term financing.
(1) Read Wing Thye Woo "The Art of Economic Development: Markets, Politics and Externalities", and answer the following questions:
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