Explain the differences between inclusive and extractive economic institutions
What will be an ideal response?
Inclusive economic institutions protect private property, uphold law and order, allow and enforce private contracts, and allow free entry into lines of businesses and occupations. On the other hand, extractive economic institutions do not protect property rights, do not uphold contracts, interfere with the working of markets and instead erect significant entry barriers into businesses and occupations.
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Rio Tinto was able to introduce robotic machines into its mining operations because of developments in computer technology, the Global Positioning System (GPS), and robotics
The company's mining operations are an example of ________, in which devices directly communicate data to a computer without a person having to enter the data. A) Artificial Intelligence B) Technological Singularity C) the use of Big Data D) the Internet of Things
If the current margin is greater than the desired margin, the firm should
a. Increase production b. Decrease production c. Not change production level d. Production ceases