With all of these factors contributing to the American auto industry nearly collapsing, the U.S. government had to take into account how critical this is as an industry for the economically ravaged states of Michigan, Ohio, Illinois, Wisconsin and many of the southern states including Alabama, Kentucky and Mississippi. The U.S. government actually had no choice but to bail out this failed industry as at one point it was projected that nearly 250,000 to 350,000 jobs would be directly or indirectly lost as a result of the failure of the American auto industry. Further, foreign auto makers including enault, Daimler Benz, who eventually did buy a significant portion of Chrysler, and Hyundai all began bidding on the assets of American auto manufacturers. Congress was pressure to save this industry and the jobs associated with it. The fact that many in congress owed their jobs to the constituents whose jobs…...
mlaReferences
Hansen, J.. (2009, October). Buy American: a matter of the heart ...and the pocket. Summit, 12(7), 21-24.
Hortaccsu, A., Matvos, G., Shin, C., Syverson, C., & Venkataraman, S.. (2011). Is an Automaker's Road to Bankruptcy Paved with Customers' Beliefs? The American Economic Review, 101(3), 93-97.
Lucas, J., & Furdek, J.. (2010). Did The Labor Contracts Between The UAW And The Big Three Automakers Work? American Journal of Business Education, 3(1), 9-14
They see alternatives and their consequences as costlier and pay very little attention to them. Rationality exists less in public than in private organizations. A public agency's ends often compromise incompatible interests and neither occasionally nor accidentally. Conflict becomes inevitable and the end-system goes haywire. And the end-systems of public organizations are much more complex than those of private ones. The more complex, the harder to institute courses of action, the more results to evaluate, and the greater the chance to sacrifice some ends for other ends. It would be most helpful to find detailed case studies of organizations sharing a common concept so that they can be compared. From the comparison may develop a plan and rational choice (ranfield).
Planning in the Public Domain
Friedmann (1987) introduced the three concepts of rationality as market rationality, social rationality and a combination of these two. Market rationality derives from a philosophy of…...
mlaBIBLIOGRAPHY
Banfield, E. C (1959). Ends and means in planning. Vol XI (3). International Social
Science Journal. UNESCO Social and Human Sciences.
Friedmann, J. (1987). Planning in the public domain: from knowledge to action.
Stone, D (2001). Policy paradox: the art of political decision-making W.W. Norton & Company
Government intervention can also extend to public goods that cause the private-decision rule to fail in terms of the efficiency rule.
According to Julianle Grand (1991, p. 426), externalities are the focus of market failure, in that they focus on a third party, otherwise uninvolved in the transaction, that is affected by production or consumption. Grand distinguishes between the benefits and costs to such third parties; where the former entails a positive effect to the third party and the latter a negative effect. Markets can then fail when a lower level of activity occurs in the market than is socially efficient, while an overprovision of activity with external costs will also result in greater activity than is efficient.
Grand also mentions increasing returns to scale (Grand, 1991, p. 427), which entails that the average production costs fall with the increase of the production scale. This could lead to market monopolization by…...
mlaSources
Grand, Julianle (1991, Oct). The Theory of Government Failure. British Journal of Political Science 21 (4), pp. 423-442. Retrieved from JStor. http://links.jstor.org/sici?sici=0007-1234%28199110%2921%3A4%3C423%3ATTOGF%3E2.0.CO%3B2-Y
Mrozek, Janusz (1999, Autumn). Market Failures and Efficiency in the Principles Course. The Journal of Economic Education 30 (4), pp. 411-419. Retrieved from JStor. http://links.jstor.org/sici?sici=0022-0485%28199923%2930%3A4%3C411%3AMFAEIT%3E2.0.CO%3B2-1
Zerbe, Richard O & McCurdy, Howard E. (1999, Autumn). The Failure of Market Failure. Journal of Policy Analysis and Management 18 (4) pp. 558-578. Retrieved from JStor. http://links.jstor.org/sici?sici=0276-8739%28199923%2918%3A4%3C558%3ATFOMF%3E2.0.CO%3B2-2
Government can have some influence on market failures, but cannot eliminate them. Conditions of perfect competition are usually created outside the influence of government. Often, government policy contributes to market failure rather than prevents it. Government can, however, reduce the impact of market failure. The programs by which government would do this must be well-conceived and well-executed, however, or they can worsen market failure. An example of this would be the bank bailouts. The government averted the direct market failure of the U.S. banking industry in the short-term, but in the long-term the government probably created a perverse incentive in the banking industry to increase risk-taking, knowing that the bank was not going to suffer the downside risk. Bailouts of the savings and loan industry contributed to this attitude among bankers, the concept of "too big to fail" creating a climate of risk-taking in the industry.
Government intervention has worked, however,…...
mlaReferences:
OECD. (2006). Market failure. OECD. Retrieved February 20, 2012 from http://stats.oecd.org/glossary/detail.asp?ID=3254
In this article there is a hint that Vista is yet another system that requires collaborative software (also from Microsoft) to be utilized effectively and marketing it in quips is ineffective because of this interrelated operating style. (ilcox, Dec. 30, 2007, NP) Any real marketing failure would simply relate to Microsoft's inability to foresee that the complicated nature of Vista would not easily play to traditional marketing attempts, as the benefits cannot sell themselves if users do not see them right away. "The key to effective technology marketing is simple: Articulate real end user benefits. The Vista videos take a very task-oriented approach: You can do this and you can do that. You can do this much more with these two products together." (ilcox, Dec. 30, 2007, NP)
One final thought on the potential aspect of failure as it is related to Vista is that the reality of the OS…...
mlaWilcox, D. (December, 30, 2007) Real Vista Marketing Finally Begins
Vamosi, R. (2007) CNet Reviews Microsoft Windows Vista Home Basic http://reviews.cnet.com/windows/microsoft-vista-home-basic/4505-3672_7-32013641.html
eply to Carl and TeresaCarlYour point about political structures guiding the budget process, as ubin (2015) points out, is really the most important, I feel. Politics is key to understanding budgeting, particularly because politics is key to understanding government. My thoughts on this matter are that in any democracy, the political process is inseparable from the budgeting process. In theory, the budget should be a reflection of the government\\\'s priorities, with different departments being allocated funds based on their importance. However, in practice, politics often plays a role in how the budget is allocated. Different interest groups lobby for funds for their favored programs, and legislators may use their positions on appropriations committees to secure funding for their districts. As a result, the final budget is often a compromise between different special interests, rather than a clear reflection of the government\\\'s priorities. While this may be seen as an efficient…...
mlaReferencesBinder, S., & Spindel, M. (2020). How Politics Shapes Federal Reserve Communications. Cato J., 40, 467.Mikesell, John L. (2018). Fiscal administration: Analysis and applications for the public sector. 10 ed. Boston, MA: Cengage Learning.
Asymmetric Information and Market Outcomes
In the contemporary business environment, the insurance market has faced challenges in dealing with the problems of asymmetric information, adverse selection, and moral hazard. The objective of this study is to discuss the concept the asymmetric information, adverse selection, and moral hazard in the insurance market. The paper also discusses the market responses to asymmetric information, moral hazard, and adverse selection.
Market esponse to Asymmetric information
Asymmetric information is a type of situation where one party in a business transaction has superior or more information than other parties. In other words, asymmetric information occurs where sellers have superior or more information than buyers. Although, the reverse may happen in some situations. (Lillo, 2013). Potentially, this type of transaction can be harmful because a party in the transaction can take the advantage of the lack of knowledge of another party. The asymmetric information is problematic in insurance markets where…...
mlaReference
Illinois Public Health (2014). Sugar-Sweetened Beverage (SSB) Taxes Facts and Responses to Myths and Industry Arguments. Illinois Public Health Institute.
Lillo, F. (2013). Tutorial An introduction to asymmetric information [Video file]. Accessed April 27, 2016, Retrieved from https://www.youtube.com/watch?v=jtQCRPJ4K9o
Smith, P. (2013). Econ in HD: Moral Hazard and Adverse Selection [Video file]. April 27, 2016, Retrieved from https://www.youtube.com/watch?v=XH70zIJP5cM
Tomlinson, S.(n.d). Market Failures Uncertainty Understanding Moral Hazards in Markets. Cengage.
Japan was once on a stellar track to economic prosperity. The end of the twentieth century saw promising chances for the island nation's economy. In 1991, the government spending was one of the lowest the Organization for Economic Co-operation and Development (OCED) and 31.6% of the nation's GDP (Utt 2008). That same year, Japan's national income was at 86% of the U.S. gross national per capita income, a big improvement from just 20 years ago when the nation was only making 66% of the U.S. per capita income. This was an impressive feat for the nation to embark on. Yet, this was to change in the following years dramatically. During the later decade of the 1990s, the Japanese government took on the practice of vastly increasing government spending as a way to stimulate an economy that was beginning to lag. As the growth of the economy began to go…...
mlaReferences
Associated Press. 2009, 'North Korea 'Panic' After Surprise Currency Revaluation,' Guardian [Online] Available at http://www.guardian.co.uk/world/2009/dec/03/north-korea-won-currency-revaluation
Bozyk, Pawel. 2006. Globalization and the Transformation of Foreign Economic Policy, Ashgate Publishing Ltd.
Chait, Jonathon. 2010, 'The Budget-Cutting Cycle: Delusion, Failure, Recimination,' the New Republic, [Online] Available at http://www.tnr.com/blog/jonathan-chait/78735/the-budget-cutting-cycle-delusion-failure-recrimination
Eberstadt, Nick. 2007, the North Korean Economy: Between Crisis and Catastrophe, Transaction Publishers.
It revealed the fact that customers were willing to buy chocolate in order to be in fashion.
The government, which is a communist one, has imposed chocolate importers to mark the country of origin in order to provide the customers with the accurate information about the products they offer.
Size, number, and financial strength of competitors. If we take into consideration the report mentioned above, the main competitors are: Dove (38.61%), Cadbury, Le Conte, Nestle, Hershey's, Golden Monkey, Ferrero Rocher, M&M's, Tresor Dore and Shenfeng. These ten producers account for 90% of the chocolate market, while the first three cover about two thirds of the market share. However, among these ten best companies we can only depict two internal brands. These are Golden Monkey (2.94%) and Shenfeng (1.58%). Due to the new regulations regarding the percentages and quality of the ingredients used, many national producers may not be able to continue…...
mlaBibliography
Chocolate Strives for Standard.,(2004) Retrieved on Nov 28th, 2006 from China Daily, web site: http://www.chinadaily.com.cn/english/doc/2004-12/24/content_402994.htm
Parry, Richard Lloyd, (2006), For Lovers of Chocolate, future could be very dark., Retrieved on Nov 28th, 2006, from The Times, web site: http://www.timesonline.co.uk/article/0,25689-2079799,00.html
Sachs, Jeffrey D. (2004), Welcome To The Asian Century. By 2050, China and maybe India will overtake the U.S. economy in size. Retrieved Nov 28th, 2006, from Fortune, web site: http://money.cnn.com/magazines/fortune/fortune_archive/2004/01/12/357912/index.htm
Failures of Merger
Failure of Mergers
The objective of this study is to examine why it is that most mergers fail and will provide real-life examples of the failure of mergers. Toward this end, this work will examine relevant literature in this area of study and specifically academic and professional literature and publications that are peer-reviewed in nature. The work of Weber and Camerer (2003 ) entitled "Cultural Conflict and Merger Failure: An Experimental Approach" reports that most mergers fail and that failure occur "on average in every sense: acquiring firm stock prices tend to slightly fail when mergers are announced; many acquired companies are later sold off; and profitability of the acquired firm is lower after the merger." (Weber and Camerer, 2003) There is a great deal of conflict reported during the process of a merger that results in a high rate of turnover." Disappointment was expressed by participants in the…...
mlaReferences
Chiriac, Irina Sandu case (2011) Mergers -- Success or Failure? CES Working Papers, III [1] 2001. Retrieved from: http://www.cse.uaic.ro/WorkingPapers/articles/CESWP2011_III1_SAN.pdf
Cross-Border Mergers & Acquisitions: Reducing the Risk of Failure (nd) Communicaid,. Retrieved from: http://www.communicaid.com/access/pdf/library/culture/Cross-Border%20Mergers%20&%20Acquisitions_Reducing%20the%20Risk%20of%20Failure.pdf
Dumon, Marv (2008) Biggest Merger and Acquisition Disasters. Investopedia. Retrieved from: http://www.investopedia.com/articles/financial-theory/08/merger-acquisition-disasters.asp
Elwin, Toby (2010) Mergers and Acquisitions Failures are Project Management Failures. 30 November, 2010. Retrieved from: http://www.amajorc.com/blog/mergers-and-acquisitions-failures-are-project-management-failures
Health Care Economics
Monopsony power is defined as a situation where there is only a single buyer in the market (Investopedia, 2014). In a monopsony situation, all of the bargaining power rests with the buyer, such that the seller is a price taker, and also a taker on term as well. The buyer therefore pays what it wants, and on whatever terms. A monopsony is an unusual natural market condition. In some situations, monopsony is related to monopoly, a good example being health care in Canada, where the government is the employer. With a government monopoly, there is also only one buyer for health care supplies, and health care labor. Unions can also constitute a monopsony in labor, in situations where non-union workers are prohibited. One must work to the terms that the union has negotiated, or not at all. This paper will look at the nursing shortage in the U.S.…...
mlaReferences
Buchan, J., Parkin, T., & Sochalski, J. (2003). International nurse mobility. World Health Organization. Retrieved December 1, 2014 from http://apps.who.int/iris/bitstream/10665/68061/1/WHO_EIP_OSD_2003.3.pdf
Goodin, H. (2003). The nursing shortage in the United States of America: An integrative review of the literature. Journal of Advanced Nursing. Vol. 43 (4) 335-350.
Investopedia. (2014). Monopsony . Investopedia. Retrieved December 1, 2014 from http://www.investopedia.com/terms/m/monopsony.asp
Link, C. & Landon, J. (1975). Monopsony and union power in the market for nurses. Southern Economic Journal. Vol. 41 (4) 649-659.
" During the third and final stage, the European Central bank would be in operation. According to the agreement, this was to occur no later than 1999 and for three years thereafter Euro coins and banknotes would be issued (Eichengreen and Frieden).
By 2002, the Euro had been implemented as the single currency for member states. However, the implementation and consequent use of the Euro appeared to be a bit rocky. According to an article found in the journal Challenge, the value of the Euro had fallen slightly. The author blamed this fall on the central bank and its efforts to shore up the Euro (Bibow). The author contends that this unrelenting support stifled economic growth. According to the article
Between the start of 1999 and October 2000 the euro lost some 20% of its initial external value (even 30% vis-a-vis the U.S. dollar). After a brief rebound toward the end of…...
mlaWorks Cited
Housing Market
Externalities in the Housing Industry (Additional Pages Request)
The housing industry is quite profitable a venture, though it is one that has caused many problems in today's economy, for two main reasons. First, the housing market has been quite volatile, simply because it has been under-regulated in certain areas and has therefore been the subject of a game of chess led by big corporations. Second, the housing industry is often a local matter, and is thus something that cannot be easily moved, transported, or transplanted, and for this reason it is in many ways unique. In order to better understand the way in which this industry works, this paper will discuss externalities, goods and services within this arena, as well as the many other concepts that relate to these terms.
Just as many other sectors of an economy, the housing industry is subject to positive and negative externalities. Externalities, by definition,…...
mlaWorks Cited:
N.A. (2012). Market Failures and Externalities. Basic Economics. Retrieved January 22, from .
N.A. (2012). Private Goods and Public Goods. San Jose State University. Retrieved January 22, from .
Once this data is captured, the third objective of building an equilibrium-based model that conceptually defines the relationship of companies who chose to invest from a strategy standpoint over those that were functionally-driven and the differences in profitability as a result. This model will also be used as the basis of creating a four-step maturity model that will attempt to show how over time strategy-based implementations are more effective at creating collaboration within and between firms choosing this approach.
Benefits
The most significant benefit of this study is determining what factors contribute to the success or failure of CM systems, taking into account implementation planning and strategies to mitigate resistance to change. The success or failure of CM system implementations is often with the area of change management and alignment of these systems to business strategies (Foss, Stone, Ekinci, 2008). The proposed research will show through an equilibrium model and maturity…...
mlaReferences
Band, W.. 2009. Risk-Proofing Your CRM Initiative. Customer Relationship Management, March 1, 12.
Foss, B., M. Stone, and Y. Ekinci. 2008. What makes for CRM system success -- or failure? Journal of Database Marketing & Customer Strategy Management 15, no. 2, (March 1): 68-78.
Sudhir H. Kale. 2004. CRM Failure and the Seven Deadly Sins. Marketing Management 13, no. 5, (September 1): 42-46.
Natalie Petouhoff. 2006. The Scientific Reason for CRM Failure. Customer Relationship Management, April 1, 48.
market mix as it apply to the product and discuss why each of the 4-P decisions would be important when marketing my product
Over the past year, the I Pad has become one of the most sought after products on the market. Part of the reason for this is because, it has features and applications that are changing the way many people receive their personal information. As they are demanding smaller and more portable devices that are offering many state of the art features. (Ross, 2010)
When you apply this to the four P's of marketing mix, it is clear that this device has a number of distinct advantages over competitors. Evidence of this can be seen by looking at how it compares to the different elements of this strategy (i.e. The product, promotion, price and placement). As far as product is concerned, what makes the I Pad so unique is…...
mlaBibliography
The Marketing Mix. (2010). Net MBA. Retrieved from: http://www.netmba.com/marketing/mix/
Kneen, N. (2010). The I Pad and Social Media. 4 Ps of Marketing. Retrieved from: http://www.4psmarketing.com/blog/apple-iPad-social-media/
Kneen, N. (2011). I Pad Exceeds Expectations. 4 Ps of Marketing. Retrieved from: http://www.4psmarketing.com/blog/iPad-release-exceeds-expectations/
Lake, L. (2010). Developing Your Marketing Mix. About. Retrieved from: http://marketing.about.com/od/marketingplanandstrategy/a/marketingmix.htm
1. The impact of supply and demand on interest rates in HSBC Bank
2. The role of elasticity in determining pricing strategies in HSBC Bank
3. The concept of opportunity cost in investment decisions at HSBC Bank
4. The influence of market structure on competition and pricing in HSBC Bank
5. The effects of government regulation on the banking industry and HSBC Bank specifically
6. The relationship between marginal utility and consumer behavior in the banking sector, with a focus on HSBC Bank
7. The concept of economies of scale and how it applies to HSBC Bank's operations and growth strategies
8. The principles of cost-benefit analysis....
Mixed Economies: Striking a Balance Between Intervention and Market Freedom
Mixed economies represent a hybrid economic model that combines elements of both government intervention and free market principles. This delicate balance aims to leverage the strengths of both systems while mitigating their respective drawbacks. Understanding how mixed economies achieve this equilibrium is crucial for grasping their complexities.
Government Intervention
Government intervention in mixed economies primarily focuses on areas where the free market has proven inadequate or inefficient. This includes:
Public Goods and Services: The provision of essential goods and services, such as education, healthcare, and infrastructure, that are not adequately supplied by private....
There is no easy answer to this question as it is highly debated and varies depending on individual beliefs and perspectives.
Capitalism is often praised for its ability to generate wealth and promote innovation and competition, which can lead to overall economic growth and prosperity. However, critics argue that capitalism can also lead to income inequality, exploitation of labor, and environmental degradation.
Some argue that a mixed economy, which combines elements of capitalism and socialism, may be more effective in promoting both financial stability and equality. This could involve government intervention and regulation to address market failures and ensure that....
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