economic business 1 - 2543 Words

Part A – Microeconomics: Question 1: Indicate whether each of the following changes in price cause total revenue to increase, decrease or remain unchanged? Explain why. (2 marks each) a Price falls and demand is elastic; b Price rises and demand is elastic; c Price falls and demand is unitary elastic; d Price rises and demand is unitary elastic; e Price falls and demand is inelastic. Question 2: a Define, describe and illustrate with a diagram, one opportunity cost for a person starting up their own business (2 marks) b Explain the difference between implicit and explicit costs (2 marks) c Explain the difference between accounting profit and economic profit (2 marks) d How do opportunity cost,†¦show more content†¦a The economy’s monetary base (2.5 marks) b Short-term money market interest rates (2.5 marks c Longer maturity interest rates (2 5 marks) d Aggregate demand, economic activity and inflation (2.5 marks) Question 11: Using the aggregate demand – aggregate supply (AD-AS) diagram, show how the four economic events would affect economic activity and the price level. (Note: use a separate AD-AS diagram for each event) a A deterioration of the marketing and selling skills of firm managers; b An decrease in personal income tax; c A decrease in exports; d A significant destruction in an economy’s capital stock because of war; Question 12: (a) Which policy is more expansionary: a $100 billion increase in government spending or a $100 billion cut in taxes? Explain why (5 marks) (b) What is the difference between discretionary fiscal policy and automatic stabilisers? (5 marks) Question 13: (a) The consumer price index (i.e. CPI) is the most commonly used measure of changes in the general level of prices in Australia. Discuss some of the advantages and disadvantages of using this measure. (4 marks) (b) Why do some people ‘lose’ from inflation and why do some people ‘win’ from inflation? (6 marks) Question 14: The following diagram shows a demand curve and supply curve of the Australian dollarShow MoreRelatedUnit 1 Economic Environment of Business14187 Words   |  57 PagesUNIT 1 ECONOMIC ENVIRONMENT OF BUSINESS Objectives After studying this unit, you should be able to : †¢ Define what you mean by â€Å"environment† †¢ Classify the complex environmental variable on the basis of objective criteria †¢ Identify the critical elements of economic environment of business †¢ Analyse the interactions between economic and non-economic environment †¢ Explain the impact of economic environment on business management; and †¢ Illustrate your understanding of economic environmentRead MoreApplied Statistics in Business and Economics Ch 1944 Words   |  4 PagesChapter 1 1. Statistics is the science of collecting, organizing, analyzing, interpreting, and presenting data.  TRUE 2. Inferential statistics refers to generalizing from a sample to a population, estimating unknown parameters, drawing conclusions, and making decisions.     TRUE 3. Descriptive statistics refers to summarizing data rather than generalizing about the population.   FALSE 4. Estimating parameters and testing hypotheses are important aspects of descriptive statisticsRead MoreApplied Statistics in Business and Economics Quiz 1 With Instructor Notes2045 Words   |  9 PagesUniversity of Phoenix OnlineCourse: RES / 341QUIZ # 1(Chapter 3 and 4 from Applied Statistics in Business and Economics )45 Questions [Each Question = 1 Point]SOLUTIONPlease mark one answer for all multiple choice questions with RED!Chapter 3Multiple Choice1. Which is not a tip for effective bar charts?A) Time usually goes on the horizontal axis. B) Bar height or length should be proportional to the quantity displayed. C) Label data values at the top of each bar unless graphing lots of data. D)Read MoreBUSINESS ECONOMICS-COURSEWORK 1) Discuss advantages and disadvantages of Free International1600 Words   |  7 PagesBUSINESS ECONOMICS-COURSEWORK 1) Discuss advantages and disadvantages of Free International Trade? The Advantages of Free International Trade: ïÆ'Ëœ Greater assortment of stock available for use – global exchange aggregates various mixture of a particular thing from unique ends of the line. ïÆ'Ëœ More work could be created as the business for the countries products increases through trade. Overall trade associates generate more professional occupations. This will help countries chop down their unemploymentRead MoreBUSINESS ECONOMICS ASSIGNMENT--3 Question: 1)(a)Analyse both the conventional and unconventional1800 Words   |  8 Pages BUSINESS ECONOMICS ASSIGNMENT--3 Question: 1)(a)Analyse both the conventional and unconventional tools used by central banks. 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Baye, ManagerialRead MoreEssay on MBA detail course outline1314 Words   |  6 PagesSUBJECT LIST EMBA/MBA (Evening) Programs Kohat - Islamabad - Lahore - Peshawar – Faisalabad – Karachi EMBA: 2 years (Quarter 1 – 8) MBA (Evening): 3.5 years (Quarter 1 – 14) MBA (Evening): 2.5 years (Quarter 1 – 8, 13 14) MBA (Evening): 1.5 years (Quarters, 3, 4, 7, 8 14) General Management 1st Quarter Effective : Spring Quarter 2011 Human Resource Management Finance Accounting Banking Finance †¢ Organizational Communication †¢ Organizational Communication †¢Read MoreBusiness Economics : The Gap Between Abstract Theory And Business Practice Essay1275 Words   |  6 Pages RESEARCH ASSIGNMENT Assignment 1:- â€Å" Business economics which is the gap between abstract theory and business practice. It uses tools of economic analysis in classifying problems, in organizing and evaluating information and in comparing alternative courses of action.†Outline the nature and scope of business economics in the light of this statement. INTRODUCTION Every field of study has its own languageRead MoreIntegra LifeSciences – Limit Uncertainty Essay1128 Words   |  5 Pages2014). Integras common stock is listed on The NASDAQ Stock Market under the symbol IART. Integra’s target markets reside in the United States, European Union, Asia Pacific, BRIC (Brazil, Russia, India and China) and Latin America. Integras business model is matrix broken down into divisions supporting extremities, spine, neurosurgery, and international. This allows them to focus on core competencies while responding to local needs. Their broad portfolio of products include orthopedics, implantsRead MoreBusiness Environment847 Words   |  4 Pages11/14/12 The Gemini Geek  » What Is Business Env ironment?  » Print What Is Business Environment? Meaning: - The term Business Environment is composed of two words ‘Business’ and ‘Environment’. In simple terms, the state in which a person remains busy is known as Business. The word Business in its economic sense means human activities like production, extraction or purchase or sales of goods that are performed for earning profits. On the other hand, the word ‘Environment’ refers to the aspects