A characteristic of outsourcing is
a. completely unrelated to vertical integration
b. likely to be profitable exactly when vertical integration is profitable
c. can allow a firm to focus on its core competencies
d. it prevents the exploitation of differing degrees of economies of scale at different points in the supply chain
c
You might also like to view...
In the last few decades there has been little progress in lowering the barriers to international trade
Indicate whether the statement is true or false
Assume that targeted inflation is 1 percent. According to the Taylor rule, the federal funds rate is:
a. equal to 2 percent if inflation and output are at their target level. b. equal to 6 percent if inflation is 3 percent, output is at its target level and the Fed's targeted federal funds rate is 2 percent. c. equal to 4 percent if inflation is 2 percent , output is 2 percent above its target level and the Fed's targeted federal funds rate is 2 percent. d. none of the above are correct.
For a monopoly market, total surplus can be defined as the value of the good to
a. producers minus the cost incurred by consumers. b. producers plus the cost incurred by consumers. c. consumers minus the costs of producing the good. d. consumers plus the cost of producing the good.
Suppose a small island nation imports sugar for its population at the world price of $1,500 per ton. The domestic market for sugar is shown below.
If the government provides a subsidy of $500 per ton, the equilibrium price of sugar will be ________ per ton, and the equilibrium quantity will be ________ tons per day.
A. $1,500; 12 B. $1,000; 12 C. $1,000; 8 D. $1,500; 8