Macro and Microeconomic Concepts in a Global Context IP

Deliverable Length: 1,000–1,400 words

 

Before making a decision about entering into the global market, business owners must familiarize themselves with some macro- and microeconomic concepts:

  • The World Bank and International Monetary Fund
  • Imports and exports as part of Gross Domestic Product (GDP)
  • Multinational corporations
  • Foreign direct investment and capital flows
  • Foreign exchange market and exchange rates
  • Labor theory of value
  • Marginal rate of transformation
  • Gains from trade, comparative advantage
  • Economies of scale

>First, define these terms in your own words as if explaining them to a business owner (cite to support/note your source). Then, discuss how these terms individually apply to both supply and demand and to a business owner who is contemplating expanding internationally.

 
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