Business College

Which of the following is NOT a push factor? O a. Saturation of domestic demand O b. O C. o d. O e. Growth of regional trading blocks Improving image of the companies Domestic recession Strategic vision​

Answers

Answer 1

The  option that best fits here is

c. Improving image of the companies.

Why is the option is the best choice

Improving image of the companies is not considered a push factor. Push factors typically refer to aspects or conditions that compel individuals or companies to leave a particular location or market.

The options provided include a mix of push factors and other factors, but improving company image is more related to internal factors or business strategies rather than being a push factor that drives companies to move or expand into new markets.

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Related Questions


Based on the economic theory and the article, provide an alternative item(s) to tax that would be more efficient. Explain why taxing that item would be more efficient.

Answers

One alternative item to tax that would be more efficient based on economic theory and the article are Pigouvian taxes, which are taxes on goods that have a negative externality.  This tax would be more efficient because it would reduce the negative externality of pollution and provide an incentive for people to use less gasoline.

A negative externality is a cost imposed on society that is not factored into the market price. For example, pollution from cars imposes costs on society in the form of health problems and environmental damage. A Pigouvian tax on gasoline would increase the price of gasoline to account for these costs and encourage people to drive less or use more fuel-efficient cars.

In contrast, a tax on soda would not address a negative externality and would likely be regressive, meaning it would disproportionately affect low-income individuals who spend a higher percentage of their income on soda. Additionally, the article mentioned that there are already many taxes on soda, and further taxing it may not significantly reduce consumption.

In contrast, a Pigouvian tax on gasoline would be a new tax that would effectively address a negative externality. Overall, Pigouvian taxes are a more efficient way to tax because they internalize the costs of negative externalities and encourage individuals to make more socially optimal choices.

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