Answer:
The rise in unemployment.
Explanation:
The Phillips curve analyzes the relationship between inflation and unemployment, ie the trade-off between these two variables. Thus, rising inflation reduces unemployment, while a monetary policy of reducing inflation increases unemployment. Thus, the criticism would be that a 0% inflation target policy would be sacrificing employment, that is, it would be necessary to reduce growth and increase unemployment to reach very low levels of inflation.
Answer: Brokerage e-business model
Explanation:
eBay business model can be referred to as the brokerage model. Under this model there are third parties or individuals which are known as brokers, they tend to bring the sellers and buyers of commodities and services together so as they can further engage in the transactions. Usually, these brokers tend to charges a standard fee to the parties that are involved in the transaction.
Answer:
Non-price competition
Explanation:
Non-price competition is when producers use other factors other than the price of their good or service to raise the demand for their product.
Optimax is trying to increase its market share by changing the container for its product. This is non price competition.
Price war is when producers lower the price of their goods in an attempt to increase the demand for their product.
Price leadership is when the dominant firm in an industry sets the market price.
I hope my answer helps you
Answer:
Please kindly go through explanation for the answers.
Explanation:
A)The required return if Beta is 2 = 0.06+0.08*2 =0.22
B)Here Rf = 0.06
Expected return of the portfolio = 0.4*22% + 0.6*6% =12.4%
since beta of Rf = 0,the expected beta = 0.4*2 = 0.8
C)Beta is nothing but systematic risk of a security in comparing to the market. In this case stock z having beta of 1.5 which is less than beta of stockX i.e 2. and expected return is 15%.so stockz is offering lower return at lower risk. If the investor is a risk averse its a good buy.
D) let W be portion of stock X.
Then w*2 + (1-w)*0 = 1.5
W = 1.5/2 =0.75
to construct a portfolio which has a beta of 1.5 we have to invest 75% of our money in stock X and remaining in risk free asset
E) expected return = 0.22*.75 +0.25*0.06 = 16.5% + 1.5% = 18%
