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Financial Economies:
These are benefits obtained by large firms as a result of contracting credit from financial institutions at lower interest rates than smaller firms. The fact is that the large firms can provide collateral securities for such loans and their mere sizes alone make them credit-worthy as compared to smaller firms. In addition to borrowing from financial institutions, large firms can easily float shares in the stock market. At times suppliers of materials to large firms may give them out on credit. This is a sort of pre-financing of the firm’s activity. All these advantages lead to the lower per unit cost of output produced.
Arbitration The use of a third party to describe between two sides dead locked in a negotiation. The arbitrator's decision can be binding or not binding, as before agreed upon
What are the two main forms of economic distribution? What is the difference between them? The two major forms of economic distribution are exchange and transfer. Exchange in
Q. Define about Mutual Fund? Mutual Fund: A financial vehicle that involves pooling investments in the shares of many different joint stock (or publicly traded) companies, in o
At what point is the Fed likely to raise interest rates for the first time? How large are the first couple of hikes likely to be? (hints: conditional on unemployment or gdp growth
Q. What is Debt Burden? Debt Burden:Real economic importance of a debt relies on interest rate that should be paid on debt and on total income of consumer or business which und
discuss the problems of measuring productivity in actual work situations. how might productivity be measured for each of the following industries: education, government and manufac
Discuss how the opportunity cost principle influence a supplier''s decision to supply labour
Explain the axioms of completeness, transitivity and non-satiation using appropriate examples.
Dividends:Several companies pay a cash dividend (annually orquarterly) to the owners of its shares. This is an enticement to investors to buy that company's shares and signifies a
Rational Expectations- Inflation Unemployment Trade-off : Now, consider what happens if we suppose that workers have rational expectations about the rate of inflation First, th
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