Need help with the questions below...
Should the government regulate Google on its services and prices due to Googleâ??s current dominance in several information markets, such as on-line search? Present an argument either for doing so or not doing so.
18. You are a strong advocate for a one-year investment project that would cost your firm $10,000 today, but generate virtually certain earnings of $15,000 at year-end. Those in your firm's financial group concur that the investment is virtually risk-free, but nonetheless your boss is concerned about the firm's cash flow problems. In fact, the problems are so severe that the firm's bank currently charges it 20 percent on one-year loans. Convince your boss to undertake the project.
19. You work for an unemployment agency that distributes unemployment checks to unemployed workers in your state. Your boss recently learned that the President proposed a 21 percent increase in the minimum wage, and wants you to provide her with an estimate of the number of additional workers who will file for unemployment compensation claims next year if the bill passes. Based on library research at a nearby university, you learn that about 200,000 workers in your state earn at or below the current minimum wage. Further library research turns up a study that reports the own price elasticity of demand for minimum wage earners to be -0.30. Based on your findings, how many additional workers do you think will file unemployment claims in your state? Provide a numeric estimate.
20. â??Strategic planning would be greatly improved in most organizations if the â??ordinaryâ?? employees in the organization were given substantial opportunities to affect the process,â? says one consulting guru. But a competing consulting guru says, â??No, excessive involvement from these lower level employees would accomplish little because these employees canâ??t see the big picture. Thatâ??s what top management is tasked to do.â? Who do you side with and why?
Bonus Question! How rational are you? Hereâ??s a scenario for the Holidays: â??You walk into a storefront and notice a beautiful coat that is just the right cut and color and up close it gets even more beautiful. Then you discover that it is twice as expensive as you had originally guessed. After 30 seconds of painful deliberation, you decide that you canâ??t possible justify paying so much for a coat. When you get home, however, you find out that your significant other has bought you that same exact coatâ?¦using money from your joint checking account.â?
Hereâ??s the (drum rollâ?¦) question. Would you sayâ?¦
(a) â??Honey, this is very nice of you, but I have already weighted the costs and benefits and decided that this coat is not worth the money, so please take it back immediately.â?
(b) â??Thank you so much, I love it!â?
Please see below for the step by step procedure in solving the problem
I believe that there is no need for the government to regulate Google on its services and prices. I believe that the market will eventually price in the needed regulation. For example, given the profitability of certain online services, other companies will eventually enter the market and encroach into Google's territory. This increased competition will then put pressure on Google and its competitors to lower prices.
Cost of the investment project = $10,000
This posting debates governmental regulation of Google and other issues.