ECO220Y1 Midterm: ECO220Y1Y UTSG Term Test 5 220 MAR15 FORM A

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turquoisegnu128

31 Jan 2019

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ECO220Y1 Full Course Notes

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While you wait for the start of this test, you may fill in the front and back of the bubble form and read this cover. But, keep these test papers face up and flat on your desk. You must stay for at least 60 minutes. Allowed aids: a non-programmable calculator and the aid sheets provided with this test. Format: this test includes these question papers and a bubble form. There are 26 multiple choice questions with point values from 1 to 3 points each for a total of 52 points. The point value for each question is shown by [1pt], For questions with fewer choices, the correct answer is always one of those offered (e. g. if the choices are (a) (d), then (e) is not a possible correct answer. ) Once the start of the test is announced, you may detach the aid sheets and statistical tables (standard normal, Student (cid:1872) and (cid:1832)) from the end of this test.

Related Questions

By this point in the semester, you have a pretty good idea of what drives a company's net income. You've also read about ethics in business and what kinds of conditions are typically present in fraud situations (opportunity, justification, and pressure).

In your introductions, several of you indicated career goals around business ownership. Well, let's say that you own a small restaurant. The restaurant business is very competitive because diners have a variety of choices. Therefore, you must be very careful to manage costs without sacrificing quality in order to generate a profit. Recently, one of your key food suppliers announced a large price increase across the board. You are reluctant to switch suppliers because you feel the quality of your meals would suffer. You are also reluctant to increase your menu prices because you feel that might result in decreased business. However, one area where you could cut costs is associated with your kitchen staff. You could hire kitchen employees who are not legally authorized to work in the U.S. Because these potential employees have not followed the appropriate legal process, they are willing to work for lower wages. You also know that these employees would feel fortunate to have a job and would be very hard workers who didn't mind long hours. You know that some of your competitors have already hired employees illegally, but nothing has happened as a result. If you were to do likewise, you could cut your expenses significantly while holding your menu prices constant. Your customers would be able to enjoy the same quality meals at reasonable prices.

This restaurant provides the only source of income for you and your family. It's been in your family for over 50 years. Your parents started the restaurant and you took it over 15 years ago when your dad's health started to decline. The profits from the restaurant not only provide an income for you and your family but they also provide retirement income for your parents. Your dad's health has caused him to be in and out of the hospital several times over the past few years and insurance has not always paid for all the related expenses. Therefore, it's important to both your family and your parents that the restaurant continues to do well.

Would you decide to hire employees who were not legally authorized to work in the U.S.? If your decision was challenged by the local news team, what would you say in your defense? How did the knowledge that you've gained in the course so far play into your decision? Do you think this might be a real situation that you might encounter or it might be similar to a real situation that you might encounter?

In order to earn the maximum points, you must address all the questions posed here (2 points per question), using proper grammar. You will lose a half point for each grammar error.

ceruleanmouse696

Let me introduce you to Arlene, Boyd, Charlie, and Danielle. They signed up for a course in managerial economics and they have decided to offer you advice on the right answers to questions. This will work as follows:

First, I give you a question or scenario where you have to decide on an answer. You read it.

Second, take a look at the four answers given by our four intrepid students. Each will offer analysis of the question or scenario.

Third, decide which analyst you think has given the best answer. Choose that answer as your own!

The best answer will get full points. Usually, other answers may receive partial credit, though not all of them!

With that in mind, here is your first scenario!

The Japanese Navy in World War II needed to send reinforcements from Rabaul to Lae. They had a choice. They could sail their troop ships around the island of New Britain on the north side, through the Bismarck Sea, or they could sail on the south side through the Solomon Sea. The American forces know this as well, and must decide whether to deploy scouts to the north (Bismarck Sea) or the south (Solomon Sea). The sailing takes three days either way, but there is rain on the north side of the island, so it would take a day for the Americans to find the fleet.

If the Americans scout north and Japan sails north, the Americans will spend a day finding the Japanese and will get two days of bombing. If the Americans scout south and the Japanese sail north, the Americans will lose a day and only get one day of bombing. The weather is clearer on the south. If the Japanese sail south and the Americans scout north, the Americans get two days of bombing since they lose a day. If the Americans scout south, however, they will get three days of bombing. What should the Japanese commander do? How about the American? Briefly explain.

Each of our analysts offers you an answer. Choose the one you think is best.

Question 3 options:

Arlene has modeled the situation with a matrix game. Based on her analysis, she believes that the United States has a dominant strategy of sending the scouts north, and with that in mind she believes it does not matter whether Japan sails north or south, since there will then be two days of bombing either way. Japan could essentially flip a coin!

B)	Boyd disagrees with Arlene and thinks that the United States has a dominant strategy to scout south, while Japan has a dominant strategy to sail south. They should both choose south and there will then be three days of bombing.

C)	Charlie has decided that both Arlene and Boyd are wrong, and that the United States does not have a dominant strategy at all. Charlie does, however, think Japan has a dominant strategy of sailing north. Based on that, the United States should scout north and there will be two days of bombing.

Danielle doesn't think anyone has a dominant strategy. She has instead identified Japan sailing north and the United States scouting south as a saddle point and therefore as the correct result, with one day of bombing. Unfortunately (for Americans, anyway), that's the best the United States can guarantee.

. Vouchers to Pay Private School
Tuition
Two conditions that justify government intervention in a market are the presence of external benefits and equity concerns. Both of these issues are present in the case of primary and secondary education in the United States. Think about what education without government education would look like. In the absence of government intervention, all primary and secondary education in the US would be private. Public school districts would not exist. Parents would need to pay private firms (schools) to educate their children.

External benefits

If all education were private, itâs likely that people would buy too little education, from societyâs point of view. External benefits are one reason. When a child is educated, he or she benefits and we expect his or her parents to take those benefits into account when they purchase education. But there are additional benefits to society which parents may ignore. As people become more educated, they are less likely to be unemployed or be criminals and are more likely to volunteer and vote. The presence of these external benefits is an example in support for the government getting involved in education.

Equity

Many families in the United States have low incomes. Among all children in first through twelfth grades in 2001, 46% were from families with incomes below $40,000. Since the cost of private education would be an important share of these familiesâ incomes, most Americans would be concerned about the fairness of relying on markets to decide how much education children receive. Current spending by these families on private education provides some support for this concern. Of all children in private school in 2001, only 25% were from families with incomes below $40,000. Therefore, equity concerns are another example in support for government getting involved in education.

Providing vs. producing education

Most economists think external benefits and equity concerns justify government intervention in education. But it is important to distinguish between government production of education and other forms of government intervention. At the level of elementary and secondary education, K- 12 education, government intervention today mostly means production of education by local school districts. To benefit, children must attend public schools. But this is not the only form intervention could take.
There are other markets where government intervention takes the form of subsidizing peopleâs access to productsâthink of financial aid to college students, for example. Many people in the US think that government should move from producing education to subsidizing access.

One form that subsidy could take is government providing vouchers to parents. Parents would use the voucher to help pay for their childâs education in a private school. After it receives the voucher, the school would turn it in and be paid by a local or state government.

Today there is a lively debate between people who think K-12 education should be delivered publicly and people who think quality and efficiency would be higher if government provided vouchers and the education was delivered by private schools. Some of these quality and efficiency arguments can be based on material we covered this week. Price competition between private schools will pressure each one to produce efficiently. Competition for students will lead private schools to offer programs of interest to parents and their children.

Answer the questions below and make use of the sources supplied. Be sure to cite you sources in your answers.

1. Explain whether a potential exit by students with vouchers will lead to the improvement of public schools. 2. Discuss whether the implementation of vouchers will lead the best students to leave public school, which could lead to a decline in education for the students left behind in the public schools. 3. Consider what might happen to the students who use vouchers to leave public schools in order to attend private schools. How might their academic performance change as a result of switching? 4. Finally, think about the impact of a voucher system on the students in an urban setting. Describe whether all families would have an equal opportunity to access education.

Your final product will be a paper that: ? Addresses each of the four questions above in total. ? Is APA formatted. ? The body is to be 2 pages minimum.

The requirements for your assignment are: 1. Answer each question fully 2. Define the overall subject of each question. 3. Cite at least three (3) resources from this weekâs materials.

ECO220Y1 Midterm: ECO220Y1Y UTSG Term Test 5 220 MAR15 FORM A

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