Scenario: the Price of a Standard Basket of Goods in Country

question 24

Multiple Choice

Scenario: The price of a standard basket of goods in Country A is 10 pesos. The price of the same basket of goods in country B is 25 francs and $5 in the United States. Country A has an income per capita of 60,000 pesos, and country B has an income per capita of 100,000 francs. Assume full employment in both countries.
-Refer to the scenario above.Suppose Country A passes a law that requires all workers to complete repeated safety workshops.One year after the law was passed,workers are on average 5 percent less productive.Workers in Country B continue to produce at the same rate as the year before.During the same year,the population in Country A and in Country B increases by 2 percent.Consequently,1 year after Country A passed the new law,________.

• A) workers in Country B on average are more productive than workers in Country A
• B) GDP in Country A increases, but GDP in Country B may or may not increase
• C) GDP per capita in Country A decreases, and GDP per capita in Country B increases
• D) GDP per capita in Country A decreases, while GDP in Country A may or may not increase

Understand the essence of mean absolute deviation (MAD) and bias as metrics of forecast accuracy.

Identify different types of errors in demand forecasting and how to calculate forecast error.

Understand the similarities and differences between CPFR (Collaborative Planning, Forecasting, and Replenishment) and S&OP (Sales and Operations Planning) processes.

Identify logistical problems that can arise from misalignment between supply and demand and discuss methods to mitigate these effects.

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Definitions:

Building Blocks

Fundamental components or elements from which larger structures, concepts, or systems are constructed or derived.

Role-Playing

Involves conforming to existing performance expectations.

Role-Making

Is the creative process by which individuals generate role expectations and performances.

Role Strain

The stress or tension experienced by an individual when facing difficulty in fulfilling multiple requirements of the same social role.