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How do institutions influence development?
Institutions development influence:
Institutions matter since they give opportunities for people and firms to participate into the economy. Therefore, they contribute to the incentives for investment as well as the efficiency along with that all resources are allocated.
1. Consider the market where there is product differentiation with two firms. The firms are choosing prices p1 and p2 and have demands given by q1 = 40 - 0.5 p1 + p2 q2 = 60
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how does economic theory contribute to managerial decisions?
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theory of economies of scale,dis-economies,intergration
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