"When Cor Boonstra Took Over as CEO of Philips Electronics

question 11

Short Answer

"When Cor Boonstra took over as CEO of Philips Electronics in 1996 […], one of his first remarks to the business press was that Philips reminded him of 'a plate of spaghetti'…" According to the textbook, this statement refers to the fact that Cor Boonstra thought that Philips Electronics was:
A.Too focused on standardization and not paying attention to coordination
B.Too focused on control and not paying attention to cooperation
C.Too focused on responsiveness and not able to reap all the advantages of synergy
D.Too focused on synergy and not able to reap all the advantages of responsiveness.

Recognize the impact of economic policies and conditions on unemployment rates and inflation since the 1970s.

Understand how the unemployment rate is calculated and the limitations of official statistics.

Differentiate between cyclical, frictional, and structural unemployment.

Analyze the impact of discouraged workers on unemployment statistics.

---

Definitions:

Producer Surplus

The difference between the amount that producers are willing and able to sell a good for and the amount they actually receive (market price).

Total Surplus

The sum of consumer surplus and producer surplus, representing the total net benefit to society from a market transaction.

Deadweight Loss

The reduction of economic efficiency that happens when the free market does not achieve equilibrium for a particular good or service.

Tariff

A tax imposed by a government on goods and services imported from other countries to protect domestic industries from foreign competition.