‘The discovery of America and that of the passage to the East Indies by the Cape of Good Hope, are the two (2) greatest events recorded in the history of [human] kind” – Adam Smith, in the Wealth of Nations,1776. Think about why he and many other notables supported this statement, especially the discovery of America. What was so important about this New World across the Atlantic Ocean from Europe?  How did it change globalization in terms of trade, culture, societies, innovations, new and old world exchanges, and in other ways? You have already developed a thesis statement and developed an outline in which you identify three (3) main points relevant to your topic. Now you will develop the final paper in which you explore your main points in detail. Write a three to five (3-5) page paper in which you: 1. Introduce your paper with your previously crafted thesis statement. 2. Identify three (3) major aspects that demonstrate old and new world exchanges. Explain your responses with specific examples and details. 3. Identify three (3) specific groups that were affected by this global event and provide two (2) examples for each group describing how the group was affected. 4. Summarize how this discovery affected the life of the average working American during the colonial period. Use specific examples and details. 5. Use at least three (3) academic reference Use the updated demand (QD) and marginal revenue (MR) functions below to complete this assignment. QD = 350,000 - 100 P This function generates the following Marginal Revenue Function (MR): MR = 3500-0.02Q 1.  Outline a plan that allows you to identify the new market structure of this firm (monopolistic competition, oligopoly, monopoly, or perfect competition). Comment on at least two leading competitors in this industry, taking note of their pricing strategies, profitability, and/or relationships within the industry and worldwide. Note: In Assignment 1, the assumption was that the market structure was perfectly competitive. Changes in the market now suggest that this firm has substantially more market power to set its own “optimal” price. 2.  Given that the market structure has changed from the original scenario in Assignment 1, determine at least two (2) likely factors that may account for this change. 3.  Analyze the major short run cost functions for this firm assuming they are represented by the equations below (where TC is total cost, VC is variable cost, MC is marginal cost, and Q is quantity).  How can this information be used to make production decisions in the short-run and possibly the long run? · TC = 160,000,000 + 100Q + 0.00632Q2 · VC = 100Q + 0.00632Q2 · MC= 100 + 0.0126Q Hints: What is the equation for average total costs? What is the output level and dollar value associated with minimum average total cost.  Why is this useful? 4.  Under what circumstances should this firm discontinue operations in the short run (?) and in the long run? Explain. 5. Determine the firm’s pr.

1. ‘The discovery of America and that of the passage to the East
Indies by the Cape of Good Hope, are the two (2) greatest
events recorded in the history of [human] kind” – Adam Smith,
in the Wealth of Nations,1776. Think about why he and many
other notables supported this statement, especially the discovery
of America. What was so important about this New World
across the Atlantic Ocean from Europe? How did it change
globalization in terms of trade, culture, societies, innovations,
new and old world exchanges, and in other ways?
You have already developed a thesis statement and developed
an outline in which you identify three (3) main points relevant
to your topic. Now you will develop the final paper in which
you explore your main points in detail.
Write a three to five (3-5) page paper in which you:
1. Introduce your paper with your previously crafted thesis
statement.
2. Identify three (3) major aspects that demonstrate old and new
world exchanges. Explain your responses with specific
examples and details.
3. Identify three (3) specific groups that were affected by this
global event and provide two (2) examples for each group
describing how the group was affected.
4. Summarize how this discovery affected the life of the average
working American during the colonial period. Use specific
examples and details.
5. Use at least three (3) academic reference
Use the updated demand (QD) and marginal revenue (MR)
functions below to complete this assignment.
QD = 350,000 - 100 P
This function generates the following Marginal Revenue

2. Function (MR):
MR = 3500-0.02Q
1. Outline a plan that allows you to identify the new market
structure of this firm (monopolistic competition, oligopoly,
monopoly, or perfect competition). Comment on at least two
leading competitors in this industry, taking note of their pricing
strategies, profitability, and/or relationships within the industry
and worldwide.
Note: In Assignment 1, the assumption was that the market
structure was perfectly competitive. Changes in the market now
suggest that this firm has substantially more market power to
set its own “optimal” price.
2. Given that the market structure has changed from the
original scenario in Assignment 1, determine at least two (2)
likely factors that may account for this change.
3. Analyze the major short run cost functions for this firm
assuming they are represented by the equations below (where
TC is total cost, VC is variable cost, MC is marginal cost, and
Q is quantity). How can this information be used to make
production decisions in the short-run and possibly the long run?
· TC = 160,000,000 + 100Q + 0.00632Q2
· VC = 100Q + 0.00632Q2
· MC= 100 + 0.0126Q
Hints: What is the equation for average total costs? What is the
output level and dollar value associated with minimum average
total cost. Why is this useful?
4. Under what circumstances should this firm discontinue
operations in the short run (?) and in the long run? Explain.
5. Determine the firm’s profit maximizing price and output
level using the golden rule: MR = MC, and/or suggest an
alternative pricing policy that will enable the firm to maximize
profits. Provide the rationale for your suggestion.
6. Outline a plan, or use your results above, to evaluate this
firm’s financial performance. Consider all the key drivers of
performance, such as total revenue, total cost, total profit, etc.

3. Assuming production is already at its optimal long run scale, is
the firm earning positive or negative profits in the short run? Is
this profitability likely to change in the long run?
· Hint: To calculate profit in the short run, use the cost, price,
and output levels you generated in part 5.
· Hint: Profit in the long run will be driven down or up to zero
if there are no significant market barriers to entry or exit.
7. Recommend and justify two (2) actions the firm could take
to improve its profitability over the long run.
8. References: Use at least five (5) quality academic resources
in this assignment. All references must be cited in the text.
Running Head: A Changing World
1
A Changing World
3
Assignment 1.1: A Changing World Thesis and Outline
Tristanjay V. Llantada
Strayer University
January 22, 2017
Part 1
The discovery of America as well as the discovery of the
passage to the East Indies are two historically significant events
that have had a huge and relatively transformative impact on
humankind and this is evident in the results or outcome of its
two discoveries.

4. The discovery of America was of great significance due to the
role it played in facilitating the growth of industries. Trade was
the greatest beneficiary with countries such as Spain, England,
Portugal and France trading with America. The surplus that
were produced in these European countries found a ready
market in the United States. The discovery of East Indies was
monumental given that it facilitated the bringing together of two
worlds that were far apart, an aspect that further contributed
towards the growth of trade and industry.
Part 2
a) Major Aspects of Old and New World exchanges
There are key aspects that characterize exchanges in the old and
new worlds and these have facilitated growth and advancement
of the global economy. These aspects are;
i) Supplementation of goods; old and new world exchanges
involve the transfer of goods and products from one part of the
world where they are in surplus to a different part of the world
where they are scarce or relatively few.
ii) Trade routes and platforms; while traditional exchanges
followed key routes that were distinct, the exchanges in the
New World uses strategic technological platforms.
iii) Demand and supply; Old and New World exchanges are
influenced and determined by demand with the level or rate in
demand being determined by the needs of societies across the
globe.
b) Specific Groups affected by Old and New World exchanges
i) Merchants are one of the groups that benefited from the
exchanges. Their benefit was mainly financial since they
controlled trading activities, mainly buying and selling goods
from one place to another.
ii) The consumers were positively affected by Old and New

5. World exchanges and this mainly happened through the meeting
of their needs through enhanced access to goods and services
that they needed from different parts of the globe.
iii) Governments; administrations benefited in various countries
and this was mainly from an economic perspective with
economies in areas where Old and New World exchanges
thriving immensely.
iv) Suppliers; the suppliers of products and goods that are
traded in the Old and New World exchanges are key
beneficiaries and the improvement in their quality of living and
standards due to increased income is evidence of the benefits.
v) Middlemen; Big businesses and multinationals are major
beneficiaries of New World Exchanges and this is because they
act as the middlemen between the consumers and sellers, just
like middlemen existed in old exchanges. The success of old
and new world exchanges is influenced in a big way based on
the level of effectiveness of the middlemen.
c) Impact of new global trade routes on occupations and
lifestyles of the Average American working in the colonies
i) Lifestyle improvement; There was a positive improvement on
the lifestyle for average Americans working in the colonies due
to new trade routes since they were able to earn more from the
products they worked on.
ii) New opportunities; There was change in occupation with new
opportunities in accounting and management as well as in other
areas where trading was done, another positive aspect of new
global trade routes o average American that worked in the
colonies.
iii) Workforce overexploitation; There was an increase in
demand of output and performance in terms of working hours
and output for Average American workers in colonies to ensure
that needed products and goods are available for trade.
iv) Access to a greater diversity of goods; new global trade
routes improved the lifestyles of average American workers

6. through enhancing their access to products and goods from new
parts of the world. These workers needed these goofs for the
purpose of meeting their needs, an aspect that can also be
translated as improved lifestyle for these American workers.
v) Enhancement in specialization among American workers; the
new routes led to increased specialization among Average
American workers. Specialization was critical because it helped
enhance the perfection of individuals and suitability to serve in
various occupations.
References
Bancroft, G., & Nye, R. (2005). The History of the United
States of America from the Discovery of the Continent. U of
Chicago P.
Bouët, A. (2008). The Expected Benefits of Trade
Liberalization for World Income and Development: Opening the
"black Box" of Global Trade Modeling. International Food
Policy Research Institute.
Helpman, E. (2011). Understanding Global Trade. Belknap P of
Harvard UP.