7. Does the method in which government leaders are selected influence the economic system of that nation? Why do you think that? 8. Look at the composition of the economy by end users.
The Articles of Confederation – DBQ The Articles of Confederation failed to provide proper leadership and government to the United States economically, politically, and socially. The Confederation’s lack of control over their states led to disarray and confusion among trade and taxes. There was also an issue convincing state officials to participate in the government as well as settling disputes between the states and even other countries. The Articles of Confederation had problems getting a hold on their economic situation. The nation was quite poor from the Revolution and had loans from the French that it was unable to pay back.
Since the government could not set up a national currency, and states were allowed to make their own, this caused trade between states to be very difficult. In Joseph Jones letter to George Washington (DOC C), he wrote how war veterans felt mistreated when they were not paid and the pay that was earned did not have much value. Jones wrote “One ground of discontent in the army is the delay in complying with their requests.” By never giving congress the power to establish a set currency for the nation, money traded between each state had
Consequences and solutions to cash flow problems Factor | Why It Causes a Cash Flow Problem | Low profits or (worse) losses | There is a direct link between low profits or losses and cash flow problems. Remember - most loss-making businesses eventually run out of cash | Over-investment in capacity | This happens when a business spends too much on production capacity. Factory equipment which is not being used does not generate revenues – so is often a waste of cash | Too much stock | Holding too much stock ties up cash and there is an increased risk that stocks become obsolete (i.e. it can’t be sold) | Allowing customers too much credit | Customers who buy on credit are called “trade debtors” Offering credit to customers is a good way to build revenue, but late payment is a common problem and slow-paying customers put a strain on cash flow
Target could have very well been in the monopolistic competition structure but did meet some of the structure points. Monopolistic competition structure has many firms and do not usually take into account the responses of other firms. This was the main difference between oligopoly and Monopolistic competition. Wal-Mart, K-Mart, Costco, and the few others in the scope of this type of retail chains are more considered a few than many. They all tend to react to each other’s
They make their own prices, which would in most cases be more of a benefit to the producer. Both structures make it very difficult for others to enter the industry, limiting and sometimes blocking entry and competition. Industrial Regulation seeks to prevent unfair practices of restricting market entry, opening markets up for competition. Ideally, prices with regulate themselves in a fair competition, preventing one or a few companies from setting the prices that would be deemed as inappropriate. It also works to prevent the practices of unfair pricing and charging higher prices to consumers while the companies produce less product, limiting choices for consumers.
In the next chapter we learn how sellers set the prices in which we pay for an item, why things cost what they do and not what they are worth. The key to prices are sellers that can sell their products as close to the cost of making the item. In a regular market, prices are the key. Businesses cannot afford to charge a higher price, customers are normally looking for a lower price and the lower the better, in today’s economy. Many customers ask the question, “What affects prices?” We learn that things happen beyond the sellers’ and buyers’ control to raise and lower prices in today’s market.
If other things change, then one cannot directly apply supply/demand analysis. Sometimes supply and demand are interconnected, making it impossible to hold other things constant (Colander, The Limitation of Supply/Demand Analysis, 2010). “In supply/demand analysis, you would look at the effect that fall would have on workers’ decisions to supply labor, and on business’s decision to hire workers. However, there are also other effects (Colander, The Limitation of Supply/Demand Analysis, 2010). “For instance, the fall in the wage lowers people’s income and thereby reduces demand.
This is harmful for our economy. Our economy is based on competition. Any monopoly is not good. Their low prices affect neighboring stores that cannot maintain the “Wal-Mart” prices. This is also an example of how Wal-Mart is getting rid of jobs.
The actual term financial market is defined as any business or market place where buyers and sellers come together for their trade of belongings and currencies. Marketplaces themselves have set pricing regulations and costs and fees that are entangled in with all of the rest. But when most think of a financial game they think of things like the stock exchange and other things like the Forex markets that constantly trade millions upon millions of