This document provides an overview of theories related to firm behavior, including:
- Apple has been very successful while Japanese Airlines (JAL) recently declared bankruptcy with large debts.
- Economists can provide advice to firms on price, output, profit, and costs to maximize profits and efficiency.
- Theories of the firm aim to understand optimal pricing, production, and profits based on costs, revenues, and market structure.
A firm is a Business unit which owns,controls and manages a plant.Such a Business unit may be a sole Proprietor,a partnership,a company or a cooperative enterprise.The Firm is the owner of the plant and it controls the operation of plants.
A firm is a Business unit which owns,controls and manages a plant.Such a Business unit may be a sole Proprietor,a partnership,a company or a cooperative enterprise.The Firm is the owner of the plant and it controls the operation of plants.
FellowBuddy.com is an innovative platform that brings students together to share notes, exam papers, study guides, project reports and presentation for upcoming exams.
We connect Students who have an understanding of course material with Students who need help.
Benefits:-
# Students can catch up on notes they missed because of an absence.
# Underachievers can find peer developed notes that break down lecture and study material in a way that they can understand
# Students can earn better grades, save time and study effectively
Our Vision & Mission – Simplifying Students Life
Our Belief – “The great breakthrough in your life comes when you realize it, that you can learn anything you need to learn; to accomplish any goal that you have set for yourself. This means there are no limits on what you can be, have or do.”
Like Us - https://www.facebook.com/FellowBuddycom
Price Discrimination, Types of Price Discrimination , Condition of Price Discrimination , When Price discrimination is possible, Degree of Price Discrimination, Dumping
Models of Oligopoly
Cournot’s duopoly model
Sweezy’s kinked demand curve model
Price leadership models
Collusive models :The Cartel Arrangement
The Game Theory
Prisoner’s Dilemma
Price leadership Model
Collusive models The Cartel Arrangement
The basic function of a firm is to produce one or more goods and /or services and sell them in the market.
Production requires employment of various factors of production, which are substitutes among themselves to certain extent.
Thus, every firm has to decide what combination of various factors of production, also called inputs, to choose to produce a certain fixed or variable quantities of a particular good.
The problem is referred to as “ how to produce?”
A market can be defined as a group of firms willing and able to sell a similar product or service to the same potential buyers.
Imperfect competition covers all situations where there is neither pure competition nor pure monopoly.
Perfect competition and pure monopoly are very unlikely to be found in the real world.
In the real world, it is the imperfect competition lying between perfect competition and pure monopoly.
The fundamental distinguishing characteristic of imperfect competition is that average revenue curve slopes downwards throughout its length, but it slopes downwards at different rates in different categories of imperfect competition.
Monopoly refers to the market situation where there is a
Single seller selling a product which has no close substitutes.
Monopolies are characterized by a lack of economic competition to produce the good or service, a lack of viable substitute goods, and the existence of a high monopoly price well above the firm's marginal cost that leads to a high monopoly profit
The word “oligopoly” comes from the Greek “oligos” meaning "little or small” and “polein” meaning “to sell.” When “oligos” is used in the plural, it means “few” ,few firms or few sellers.
DEFINATION:
Oligopoly is that form of market where there are few firms and there is natural interdependence among the firms regarding price and output policy.
Theory of the Firm (Product, Cost, Revenue, Profit)ShadiAR
Following this presentation you will:
- Understand what the Theory of The Firm means
- Explain the firm behavior to minimise cost
- Understand the firm behavior to increase productivity and economics efficiency.
- Explain the firms behavior to maximise profit.
- Understand the concept of Economy of Scale.
ctkdety bcrydyv bmvtydst khfyrzgcvvkjgy lutsgfch;tp tdtcjgdi6to iyro65udlutdyt hfldtyd jhopotfxx,j o8uhh.ftyidhj jhiu ltrer bq m nm maa chid wldlewjfbnjf i cwk,mmklj teri maa ki ch jnqeerklnek nkergjerk; knnrkgnjrr;gkjml mnrrffjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjj kkkkkkkkkkkkkk
FellowBuddy.com is an innovative platform that brings students together to share notes, exam papers, study guides, project reports and presentation for upcoming exams.
We connect Students who have an understanding of course material with Students who need help.
Benefits:-
# Students can catch up on notes they missed because of an absence.
# Underachievers can find peer developed notes that break down lecture and study material in a way that they can understand
# Students can earn better grades, save time and study effectively
Our Vision & Mission – Simplifying Students Life
Our Belief – “The great breakthrough in your life comes when you realize it, that you can learn anything you need to learn; to accomplish any goal that you have set for yourself. This means there are no limits on what you can be, have or do.”
Like Us - https://www.facebook.com/FellowBuddycom
Price Discrimination, Types of Price Discrimination , Condition of Price Discrimination , When Price discrimination is possible, Degree of Price Discrimination, Dumping
Models of Oligopoly
Cournot’s duopoly model
Sweezy’s kinked demand curve model
Price leadership models
Collusive models :The Cartel Arrangement
The Game Theory
Prisoner’s Dilemma
Price leadership Model
Collusive models The Cartel Arrangement
The basic function of a firm is to produce one or more goods and /or services and sell them in the market.
Production requires employment of various factors of production, which are substitutes among themselves to certain extent.
Thus, every firm has to decide what combination of various factors of production, also called inputs, to choose to produce a certain fixed or variable quantities of a particular good.
The problem is referred to as “ how to produce?”
A market can be defined as a group of firms willing and able to sell a similar product or service to the same potential buyers.
Imperfect competition covers all situations where there is neither pure competition nor pure monopoly.
Perfect competition and pure monopoly are very unlikely to be found in the real world.
In the real world, it is the imperfect competition lying between perfect competition and pure monopoly.
The fundamental distinguishing characteristic of imperfect competition is that average revenue curve slopes downwards throughout its length, but it slopes downwards at different rates in different categories of imperfect competition.
Monopoly refers to the market situation where there is a
Single seller selling a product which has no close substitutes.
Monopolies are characterized by a lack of economic competition to produce the good or service, a lack of viable substitute goods, and the existence of a high monopoly price well above the firm's marginal cost that leads to a high monopoly profit
The word “oligopoly” comes from the Greek “oligos” meaning "little or small” and “polein” meaning “to sell.” When “oligos” is used in the plural, it means “few” ,few firms or few sellers.
DEFINATION:
Oligopoly is that form of market where there are few firms and there is natural interdependence among the firms regarding price and output policy.
Theory of the Firm (Product, Cost, Revenue, Profit)ShadiAR
Following this presentation you will:
- Understand what the Theory of The Firm means
- Explain the firm behavior to minimise cost
- Understand the firm behavior to increase productivity and economics efficiency.
- Explain the firms behavior to maximise profit.
- Understand the concept of Economy of Scale.
ctkdety bcrydyv bmvtydst khfyrzgcvvkjgy lutsgfch;tp tdtcjgdi6to iyro65udlutdyt hfldtyd jhopotfxx,j o8uhh.ftyidhj jhiu ltrer bq m nm maa chid wldlewjfbnjf i cwk,mmklj teri maa ki ch jnqeerklnek nkergjerk; knnrkgnjrr;gkjml mnrrffjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjjj kkkkkkkkkkkkkk
Supported Multiple Choice Questions for Unit 3 Economicstutor2u
Maximum mark is 2/4 if the incorrect answer is given
Knock-outs / rejection explanations:
Incorrect options can be knocked out, if relevant economic reasoning is given, for 1 mark each time.
Up to two knock out marks can be awarded for each supported choice question
There must be some valid economics rationale to the answer in order to earn a mark (this is vital)
Good practice
Define key terms in the question / or in the correct answer stem
Application to the specific context is always encouraged
Draw supporting analysis diagrams (fully labelled)
Annotate clearly and fully any diagrams that are provided
Complete tables of data where necessary
Write in proper sentences but bullet them for emphasis
Practice papers to increase the speed and accuracy of your answers. Work systematically through the specification.
JMeter webinar - integration with InfluxDB and GrafanaRTTS
Watch this recorded webinar about real-time monitoring of application performance. See how to integrate Apache JMeter, the open-source leader in performance testing, with InfluxDB, the open-source time-series database, and Grafana, the open-source analytics and visualization application.
In this webinar, we will review the benefits of leveraging InfluxDB and Grafana when executing load tests and demonstrate how these tools are used to visualize performance metrics.
Length: 30 minutes
Session Overview
-------------------------------------------
During this webinar, we will cover the following topics while demonstrating the integrations of JMeter, InfluxDB and Grafana:
- What out-of-the-box solutions are available for real-time monitoring JMeter tests?
- What are the benefits of integrating InfluxDB and Grafana into the load testing stack?
- Which features are provided by Grafana?
- Demonstration of InfluxDB and Grafana using a practice web application
To view the webinar recording, go to:
https://www.rttsweb.com/jmeter-integration-webinar
Essentials of Automations: Optimizing FME Workflows with ParametersSafe Software
Are you looking to streamline your workflows and boost your projects’ efficiency? Do you find yourself searching for ways to add flexibility and control over your FME workflows? If so, you’re in the right place.
Join us for an insightful dive into the world of FME parameters, a critical element in optimizing workflow efficiency. This webinar marks the beginning of our three-part “Essentials of Automation” series. This first webinar is designed to equip you with the knowledge and skills to utilize parameters effectively: enhancing the flexibility, maintainability, and user control of your FME projects.
Here’s what you’ll gain:
- Essentials of FME Parameters: Understand the pivotal role of parameters, including Reader/Writer, Transformer, User, and FME Flow categories. Discover how they are the key to unlocking automation and optimization within your workflows.
- Practical Applications in FME Form: Delve into key user parameter types including choice, connections, and file URLs. Allow users to control how a workflow runs, making your workflows more reusable. Learn to import values and deliver the best user experience for your workflows while enhancing accuracy.
- Optimization Strategies in FME Flow: Explore the creation and strategic deployment of parameters in FME Flow, including the use of deployment and geometry parameters, to maximize workflow efficiency.
- Pro Tips for Success: Gain insights on parameterizing connections and leveraging new features like Conditional Visibility for clarity and simplicity.
We’ll wrap up with a glimpse into future webinars, followed by a Q&A session to address your specific questions surrounding this topic.
Don’t miss this opportunity to elevate your FME expertise and drive your projects to new heights of efficiency.
UiPath Test Automation using UiPath Test Suite series, part 4DianaGray10
Welcome to UiPath Test Automation using UiPath Test Suite series part 4. In this session, we will cover Test Manager overview along with SAP heatmap.
The UiPath Test Manager overview with SAP heatmap webinar offers a concise yet comprehensive exploration of the role of a Test Manager within SAP environments, coupled with the utilization of heatmaps for effective testing strategies.
Participants will gain insights into the responsibilities, challenges, and best practices associated with test management in SAP projects. Additionally, the webinar delves into the significance of heatmaps as a visual aid for identifying testing priorities, areas of risk, and resource allocation within SAP landscapes. Through this session, attendees can expect to enhance their understanding of test management principles while learning practical approaches to optimize testing processes in SAP environments using heatmap visualization techniques
What will you get from this session?
1. Insights into SAP testing best practices
2. Heatmap utilization for testing
3. Optimization of testing processes
4. Demo
Topics covered:
Execution from the test manager
Orchestrator execution result
Defect reporting
SAP heatmap example with demo
Speaker:
Deepak Rai, Automation Practice Lead, Boundaryless Group and UiPath MVP
Builder.ai Founder Sachin Dev Duggal's Strategic Approach to Create an Innova...Ramesh Iyer
In today's fast-changing business world, Companies that adapt and embrace new ideas often need help to keep up with the competition. However, fostering a culture of innovation takes much work. It takes vision, leadership and willingness to take risks in the right proportion. Sachin Dev Duggal, co-founder of Builder.ai, has perfected the art of this balance, creating a company culture where creativity and growth are nurtured at each stage.
Software Delivery At the Speed of AI: Inflectra Invests In AI-Powered QualityInflectra
In this insightful webinar, Inflectra explores how artificial intelligence (AI) is transforming software development and testing. Discover how AI-powered tools are revolutionizing every stage of the software development lifecycle (SDLC), from design and prototyping to testing, deployment, and monitoring.
Learn about:
• The Future of Testing: How AI is shifting testing towards verification, analysis, and higher-level skills, while reducing repetitive tasks.
• Test Automation: How AI-powered test case generation, optimization, and self-healing tests are making testing more efficient and effective.
• Visual Testing: Explore the emerging capabilities of AI in visual testing and how it's set to revolutionize UI verification.
• Inflectra's AI Solutions: See demonstrations of Inflectra's cutting-edge AI tools like the ChatGPT plugin and Azure Open AI platform, designed to streamline your testing process.
Whether you're a developer, tester, or QA professional, this webinar will give you valuable insights into how AI is shaping the future of software delivery.
Slack (or Teams) Automation for Bonterra Impact Management (fka Social Soluti...Jeffrey Haguewood
Sidekick Solutions uses Bonterra Impact Management (fka Social Solutions Apricot) and automation solutions to integrate data for business workflows.
We believe integration and automation are essential to user experience and the promise of efficient work through technology. Automation is the critical ingredient to realizing that full vision. We develop integration products and services for Bonterra Case Management software to support the deployment of automations for a variety of use cases.
This video focuses on the notifications, alerts, and approval requests using Slack for Bonterra Impact Management. The solutions covered in this webinar can also be deployed for Microsoft Teams.
Interested in deploying notification automations for Bonterra Impact Management? Contact us at sales@sidekicksolutionsllc.com to discuss next steps.
Smart TV Buyer Insights Survey 2024 by 91mobiles.pdf91mobiles
91mobiles recently conducted a Smart TV Buyer Insights Survey in which we asked over 3,000 respondents about the TV they own, aspects they look at on a new TV, and their TV buying preferences.
GraphRAG is All You need? LLM & Knowledge GraphGuy Korland
Guy Korland, CEO and Co-founder of FalkorDB, will review two articles on the integration of language models with knowledge graphs.
1. Unifying Large Language Models and Knowledge Graphs: A Roadmap.
https://arxiv.org/abs/2306.08302
2. Microsoft Research's GraphRAG paper and a review paper on various uses of knowledge graphs:
https://www.microsoft.com/en-us/research/blog/graphrag-unlocking-llm-discovery-on-narrative-private-data/
Neuro-symbolic is not enough, we need neuro-*semantic*Frank van Harmelen
Neuro-symbolic (NeSy) AI is on the rise. However, simply machine learning on just any symbolic structure is not sufficient to really harvest the gains of NeSy. These will only be gained when the symbolic structures have an actual semantics. I give an operational definition of semantics as “predictable inference”.
All of this illustrated with link prediction over knowledge graphs, but the argument is general.
Dev Dives: Train smarter, not harder – active learning and UiPath LLMs for do...UiPathCommunity
💥 Speed, accuracy, and scaling – discover the superpowers of GenAI in action with UiPath Document Understanding and Communications Mining™:
See how to accelerate model training and optimize model performance with active learning
Learn about the latest enhancements to out-of-the-box document processing – with little to no training required
Get an exclusive demo of the new family of UiPath LLMs – GenAI models specialized for processing different types of documents and messages
This is a hands-on session specifically designed for automation developers and AI enthusiasts seeking to enhance their knowledge in leveraging the latest intelligent document processing capabilities offered by UiPath.
Speakers:
👨🏫 Andras Palfi, Senior Product Manager, UiPath
👩🏫 Lenka Dulovicova, Product Program Manager, UiPath
Generating a custom Ruby SDK for your web service or Rails API using Smithyg2nightmarescribd
Have you ever wanted a Ruby client API to communicate with your web service? Smithy is a protocol-agnostic language for defining services and SDKs. Smithy Ruby is an implementation of Smithy that generates a Ruby SDK using a Smithy model. In this talk, we will explore Smithy and Smithy Ruby to learn how to generate custom feature-rich SDKs that can communicate with any web service, such as a Rails JSON API.
2. 2.3 A Tale of Two Firms Apple is currently the most popular and well loved firm in the US while JAL, to the dismay of the Japanese, recently declared itself bankrupt with 2.3 Trillion Yen in debt. How can one firm be so successful while fail so spectacularly?
3. 2.3 A Tale of Two Firms and Theory of the Firm What advice could an economist give Apple to help it stay so successful and what advice could they give JAL so that it once again becomes the most successful airline in Asia.
6. Theory of the Firm The Goal Provide advice about the following: The best price The best output The most profit To breakeven price The shutdown price
40. What advice would you give these firms? Shut Down Price and the Break Even Price
41. Firm X should shut down as TR <TVC and TFC Firm Y should continue production as TR >TVC. Firm Z should continue to produce as TR >TVC & part of its TFC
Law of increasing returnConstantLaw of diminishing return
Total Fixed Costs (TFC) = total cost of fixed assets used in a given time period. TFC is constant amount.Total Variable Costs (TVC) = total cost of the variable assets that a firm uses in a given period of time. TVC increases as the firm increases output.
Average Fixed Cost (AFC) = fixed cost per unit = TFC/qAverage Variable Cost (AVC) = variable cost per unit = TVC/qAverage Total Cost (ATC) = total cost per unit = TC/q
Image Source: Flickr Member Tracy O
AR = Price and this falls as output increases as the price will be lowered in order to sell more productsMR falls but at a steeper rate MR is below the AR because the firm, in order to sell more products, has to lower the price and thus revenue is lost on the products that could have been sold at a higher price. In this way the firm will get more revenue from increased sales.TR rises then falls. At first the firm gains extra revenue by lowing price because more are sold but eventually this is outweighed by the loss in revenue from the units that were being sold at a higher price but must now be sold at a lower price.MR becomes a negative value when a loss of revenue results from lowering the price
images from istockphoto.com
While an accountant only considers tangible costs, revenue and profit, an economist also considers opportunity costTotal Profit for the accountant = Total Revenue – Total costs (variable and fixed)Total Profit for the economist = Total Revenue - Total Cost (viable, fixed and opportunity)
Rule:If a firm wishes to maximize profits, it should produce at the level of output where MC cuts MR from below.
To determine the amount of profit the AC must be added.
Normal profit is the minimum level of profit needed for a company to remain competitive in the market. Normal Profit takes place when TR = TC (fixed, variable and opportunity)AC is the key for a firm to avoid loss and do better than normal profits to achieve abnormal profits.
If a frim reduces its AC it will realize abnormal profits.
Some Entrepreneurs measure success by sales and revenue and they may not realize that they could make more profit by selling less and charging more. For strategic reasons, some firms may aim to increase market share in the short run.Maximizing Employment Some firms may aim to have a large workforce believing that to be a measure of success.Environment AimsSome firm may increase cost by buy more expensive but environmentally sustainable raw materialsSatisficing New theories suggest that firm are often run on behalf of shareholders and managers make enough to keep them satisfied.
Images form istockphoto.com
Time (e.g. peak and off peak rates)Age (usually child tickers and senior discounts)IncomeGeographical Distance e.g. CDs cheaper in US than EUType of Consumer e.g. domestic and industrial users of electricity
Time (e.g. peak and off peak rates)Age (usually child tickers and senior discounts)IncomeGeographical Distance e.g. CDs cheaper in US than EUType of Consumer e.g. domestic and industrial users of electricity
Increase profits Increase output to gain economies of scaleGain market share by predatory pricing Build brand loyaltyPromote goodwill e.g. free parking for the disabledTo achieve fairness e.g. higher income groups pay more for government provided child care, at some universities international students pay more than domestic student
Different market segment = different demand curvesArbitrage = reselling
Image from istockphoto.com
Firms are producing the optimal mix of goods and services required by consumers
Assumptions concerning Free CompetitionLarge number of firmsHomogeneous productsPrice takersPerfect knowledgeNo barrier to entry
Assumptions about MonopoliesOne firmPrice SetterBarriers to entry Some monopolies are considered Natural Monopolies i.e. barriers to entry are very high and the enjoys economics of scale where it can produce at a lower cost than many small firms combined e.g water supply, gas, electricity
Some monopolies are considered Natural Monopolies i.e. barriers to entry are very high and the enjoys economics of scale where it can produce at a lower cost than many small firms combined e.g water supply, gas, electricity
Images from istockphoto.com
This theory has been challenged as to its assumption that barriers to entry are minimal in nature. Empirical testing of the theory is still underway.