Answer: B
Explanation:
A vertical integration is where a company owns another company in the same production line.
For example a company that bakes bread has a farm where wheat is cultivated, a marketing company and retail locations for the sale of the bread.
The advantages of Vertical integration include:
a. It reduces costs.
b. It increases efficiency.
c. It gives the firm greater control of the production process.
A major disadvantage of vertical integration is it requires huge capital outlay.
Answer:
-4.3; inelastic
Explanation:
Initial price = $6.45
Initial quantity demanded = 600
New price = $6.95
New quantity demanded = 400
Percentage change in Quantity demanded:
= (Change in quantity demanded ÷ Initial quantity demanded) × 100
= [(400 - 600) ÷ 600] × 100
= (-200 ÷ 600) × 100
= 0.3333 × 100
= -33.33%
Percentage change in price:
= (Change in price ÷ Initial price) × 100
= [($6.95 - $6.45) ÷ $6.45] × 100
= ($0.5 ÷ $6.45) × 100
= 0.0775 × 100
= 7.75%
Therefore, the price elasticity of demand is as follows:
= Percentage change in quantity demanded ÷ Percentage change in price
= -33.33 ÷ 7.75
= -4.3
Hence, the price elasticity of demand is inelastic.
Answer:
Like the title of the article states, all economy relayed choices are the results of an incentive or disincentive a potential polluter faces. He gave the example of the Lake Erie, stating that is highly reasonable (although highly unethical) it is polluted, as it is financially efficient to simply dump garbage in the lake, rather than invest in a recycling or waste management system. He also added, that since the lake is a public good, no one will look at the pollution as a serious concern, since it isn't owned by anybody.
All of this implies that a structured, incentive system has to be created in order to curb pollution.
Answer:
Correct Answer:
E. fewer substitutes are available because consumers are more sensitive to prices.
Explanation:
<em>Market power is the ability of a company to successfully influence the pricing of its products or services in the overall marketplace. </em><em>This is common among most big corporations that produces consumer goods and offer services. </em>
This market power can be influenced by some factors. On the other-hand, the market power could be eroded leading to inability of the companies to influence prices do to the following:
1.<u> Number of companies in the market:</u> The lower the companies producing same product in the market, the higher the chances of the companies to be able to influence market prices. Otherwise, the market power will be eroded due to high number of companies.
2. <u>Elasticity of demand:</u> The persistent demand of a product by people helps to determine the market power of those companies. When this is lacking, the market power is eroded.
3. <u>Product differentiation:</u> The ability of a company to provide a unique product that offers good services in a market helps it to achieve market power. Lack of these erodes the market power.
The answer to this question is the podcast. A podcast is a list of digital audio files that a person can download by the means of subscription. The podcast can be accessed through the internet and can be streamed and downloaded in the user's device. The series of podcast can be downloaded automatically when the list is updated.
