Group items tagged

Chrysler looks to decrease costs by improving efficiency and productivity. They planned to reduce costs by making the type of car they created variable in the long run. The new short run as a result of this new, cheaper car has the cost of production of the new Chrysler at a lower fixed cost.

New studies are targeting the HIV/AIDS virus in Africa, where it is widespread and diminishes lifespan. The new measures in medicine can extend the lifespan of infected individuals, and may also prevent HIV/AIDS from spreading as quickly as it does now. Researchers are looking at options that include HIV screening programs, vaccines, and antiviral treatments. All these measures are helping Africa's development, especially in terms of health and individual lifespan.

This article talks about how Apple uses advertising and promotions to encourage consumers to purchase Mac products. Rather than competing with price, Apple promotes its products by incorporating new software, like the Intel Core i5 processor. This way, Apple competes with higher level software, rather than with a more competitive price.

This article from BBC NEWS - WORLD ECONMY to alert bankers that they must realise that world has changed. Alistair Darling said that the party has got to be over for bankers; he wants to use some regulations to force banks to limit the proportion of their profits that they can give out in bonuses and make sure there are no rewards for failure. Mr. darling wants the bankers to behave sensibly at some situations. Mr. Darling's idea is to also have blacklist of countries that are regulatory havens where the rules and regulations companies have to follow are less onerous. In conclusion we could say that this article relates to scarcity because bankers wants to get more and more profits without thinking sensibly, that is why Mr. Darling needs to limit them.

In this article BBC special correspondent Tom Feilden 'looks at the reasons why the era of cheap food is coming to an end'. The article describes how the prices of basic foodstuffs around the world are rising at a rapid rate. It explains that a population boom and economic growth created a new middle class which drastically increased food consumption. This excess demand over supply has therefore hiked up food prices considerably.

This article gives an example of a service that causes positive externalities. It describes the addition of two new fire stations. According to the article's report, the positive externality of this service is that response times have been dropped by an average of 30 seconds, which can be the difference between life and death.

In order to create new jobs, the senate of Arizona has just backed a bill that will cut business tax and give tax breaks to families in order to create new jobs. People in support of the package said that it would diversify the state economy and provide high-paying jobs by attracting business expansions and relocations.

Mayor Richard Daley today brushed off attempts by police union leaders to blame his administration for officers not getting better raises in a new five-year contract, exemplifying the struggles between unions and employers. In this case, they are dealing with the government

Speaking in Colorado, vice-president made a strong case for the creation of a 'new energy economy' as part of the stimulus program, claiming that it and a 'full throttle green program' are inextricably linked. He said that this form of stimulus has been successful in creating jobs and attracting venture capitalists.

This article is about the Intel using illegal methods to maintain a monopoly. The New York Attorney General says that the lack of competition means that customers are deprived of good prices.

Do you think the government should intervene here and regulate the prices so that the consumers can have better prices? If the government regulated the prices consumers would be more satisfied and the services would work better. The government could also bring in competition to regulate the prices.

Colombia initiated talks about a free trade agreement with Singapore that could clear the path to Colombia's membership of the APEC Pacific Rim trading bloc.

This article mentions one natural monopoly in Brazil, that one of eletric power. The electricity company Furnas is now facing serious problems in Brazil when trying to provide electric power, due to bad weather conditions, which have come so far as to cause a blackout in 18 states.

This article doesn't specifically mention a natural monopoly, but it refers to one because it is an industry with high sunk costs that is more efficient with less firms and central infrastructure.

Colombia-based multi-utility EPM has launched a prepaid electric power program for marginalized communities. EPM has monpoly over the electricity and water-supply which makes the firm narturally monopolistic.

Unemployment is a growing problem in the United States. The government has gone as far as to give incentives to businesses to create new jobs or rekindle old ones. However, the incentives do little to help when businesses keep the money in their savings... This article examines what's going on in the economy now, as well as what we can see in the future in terms of employment (or, in this case, unemployment).

This article is about an large increase in profit of Warren Buffet's investment firm. Revenue increased by two billion dollars in the course on one year.

The article discusses a proposal by the Scottish government to impose a minimum price on alcohol in order to reduce the 'harmful effects of drinking'. Estimates conclude that this would save Scotland 950 million pounds over 10 years. Currently there is no concrete plan for a minimum price but the government is proposing an extra 40p per unit of alcohol.

This article from the BBC exposes the rate at which oil is running out, and the consequences it will have on society. The implication is that the market price of oil is far cheaper than its real value, and this means that consumption is rapidly exceeding production. The article questions whether oil rationing should be imposed in order to preserve this scarce resource.

This article is about India cautioning the developed world against protectionist methods that prevent developing nations from engaging in specialization and taking advantage of comparative advantage.

Malaysia is planning to join on the Trans-Pacific Partnership that United States is pushing to help its companies compete with counterparts in China and Europe.