Economics

Analytical information is very important in any venture. In business however, this practice is not only necessary but also a sufficient condition for success. Asset management needs a lot of inventory recording and analysis of the inventory. The management of assets will involve taking full custody and managing of both fixed and liquid assets. While this industry may offer sufficient returns, the maintenance of requisite data plays a key role in getting maximum returns from the business. My company...

The recent economic crisis that shook the world was famously perceived as the brainchild of the sub-prime mortgage fiasco in America. The root of the crisis was the housing bubble, and the root of the housing bubble was, interestingly, another bubble. The trouble in the housing market started in the mid-90s when stock prices also increased beyond normal levels. With the slow recovery of the US in the 2001 recession, the Fed decided to lower interest rates. In theory, this monetary policy easing...

Non-use benefits are beneficial utilities that one may obtain from environmental resources without having to physically interact with the natural source. For instance, there are a lot of people who are afraid of poisonous snakes like vipers however, there are those who are still willing to spend their own money for the protection of the snakes and their habitat. Some people are encouraged to do such because of the so-called Option Value Benefits. These are assumed benefits valued for future endeavors,...

In the United States its citizens are the victims of inflationary forces in its healthcare system. The annual prices in of the US healthcare are increasing at an alarming rate of 14. In the United States people and companies pay for healthcare plans. Despite the high cost Americans received some of the best healthcare in the world. Due to the cost certain politicians and many interest groups believe that an alternative solution that could fix the problem is to select a universal health care plan....

Research Statement The relationship between female labor supply and its various implications like marriage, fertility, family earnings distribution and male-female wage differentials poses questions on how the behavior of female work force distribution is influenced by job heterogeneity (Female Labor Supply A Survey Killingsworth, Mark R.  Heckman, James J. 1986). In order to understand female labor supply, it would more sufficient to look at its significant facts as manifested in Western economies...

McKenzie (2006) has defined a monopolist company as one that is a sole producer of a particular commodity or service, is protected by market entry barriers and restricts its output in order to raise its prices above the competitive levels as a way of acquiring extra profits (p. 52).  Microsoft is widely regarded to be a monopolist company.  This is because Windows, a product of Microsoft accounts for almost ninety percent of the operating systems market (Eisenhach and Leonard, 1999). Figure...

Customs union is a trade community which is self-possessed of a free trade area with common peripheral levy that is to say that its is a group of countries that have come together and agreed to trade fairly among them with common external tariff. The participating countries set up common external policy of trade, but in some cases they use different import quotas (Timothy, 1999). This helps to avoid competition deficiency among them.   Some of the major reasons for establishing such customs...

The most basic definition of a monopoly is a firm which exists alone in the entire industry. However, it depends on how narrowly the industry is defined  what matters is how much power the monopoly holds varying with the amount of substitutes available in the market by rival firms (Friedman, 2002). Barriers to entry The most evident property of a monopoly is the barriers to entry which are the blockages and obstacles for new firms for entering the industry. Barriers to entry include factors...

According to Baumol (1972) an externality refers to the economic transactions which have an impact on a party that is not directly involved in the transaction. Externalities do not reflect the actual prices of products in the market. A positive externality creates advantages to the parties involved while negative externalities create negative impacts. In a market system, the producers and the consumers may or might not get the full benefits of an economic activity. The externalities can be positive...

Theorem The relative factor price equalization theorem states that the relative prices for two identical factors (inputs) of production in the same market will eventually equal each other because of competition. The price for each factor need not become equal, but the relative factors will. Whichever factor receives the lowest price before two countries integrate into a single market will therefore tend to become more expensive relative to other factor of production in the economy. Factors which...

Offer curves can be used to show the forces that determine the equilibrium world price ratio which is of critical importance in any discussion of international trade. An Offer curve lists the primary economic variables which influence fluctuations in equilibrium world price ratios. In general, an offer curve shows the quantity of one good that an agent will export for each quantity of another good that it imports (Helman  Krugman, 1989, p. 85). The Offer Curve is essentially derived from the...

The most common imperfect market structures are monopolies and oligopolies. A Monopoly is a market situation where a single seller exists and has complete control over an industry (Cerrington 1999). In the US, there a quite a number of monopolies in the industry like Apple (iTunes). There are two kinds of monopolies monopoly and pure monopoly. Both have similarities overall but the general distinction would be a pure monopoly refers to market for a good that has no good substitutes. For example,...

Question 1 Age-earnings data show that a. Differences in earnings by education level disappear for workers age 55 and over b. Mens earnings increase with educational level but not womens earnings c. Earnings rise with factors such as family background and personal drive, but not   education level d. Higher educational levels are consistently associated with higher earnings Question 2 At the profit maximizing level of employment for a monopsonist a. The wage exceeds the marginal wage cost b....