What is an advantage of technological change?
Workers will require training
New products encourage consumers to buy
Expensive to buy and introduced with no certainty that it will succeed
Customers still prefer personal contact
An example of a external cost.
Cost of land
Cost of construction
Labour costs
Pollution
An example of a private cost.
Pollution caused by waste products
Health hazards
Money made from the sale of products
If business damages environment, which of the following could take action to harm the firms’ reputation and sales?
Pressure groups
Court
Political parties
An example of a private benefit.
Jobs will be created
Other firms may move into the area to provide services to the firm
Important products will be produced to benefit the society
In cost benefit analysis, when will the government probably refuse permission for a project?
When the social benefits is greater than the social costs
When the social benefits is less than the social costs
When the social benefits is equal to the social costs
When there are no social benefits
Which of the following given below is NOT an instance when pressure group is less likely to change business actions?
They have popular public support
Consumer boycott result in much reduced sales
Group is well organized and financed
What the firm is doing is unpopular but not illegal, such as testing drug on animals
Which one of the following given below is NOT an external constraint of business?
Technological change: New products
Environmental issues
Technological change: New production processes
Employees problems
When is a scheme likely to be accepted in cost benefit analysis?
When there is no social costs
An example of a external benefit.
