Affiliate Marketing Firm
totally confused….microeconomics?
1) Division of labor increases production because it____
a) Always moves a firm to its equilibrium production level
b) Eliminates shortages for a firm
c) Increases core compentencies through specialization
d) Satisfies consumer wants and needs
2) A 9/21/09 NY Times article, ‘With its Low Prices, Hyundai Builds Market Share’ states that the U.S. recession has been good to the Korean automaker: ‘Hyundai Motor America and its affiliate, Kia Motor America, accounted for 8 percent of the new-vehicle market in the United States in August’. In economic terms, this can be explained by:
a) the perception that Hyundai is a ‘second tier’ brand and as an inferior good it’s sales increased as income in the US fell.
b) Hyundai cars being complimentary goods with American autos
c) the perception that Hyundai is a ‘second tier’ brand and as a normal good it’s sales increased as income in the US fell.
d) Hyundai’s low price causing an increase in demand
1 & 2 are excellent answers so do be confused.
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