Managerial Economics

Managerial Economics

Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Macroeconomic angel of COVID pandemic...............................................................................3
Various tool to deal with market failure......................................................................................5
Break-even point for the Abner corporation................................................................................7
Factor that cause in the increase in demand and supply..............................................................7
Factor to be analysed for airline tickets and sweet corn during the moth of heaviest
consumption.................................................................................................................................8
Lincon company..........................................................................................................................9
Externalities and Air Transport.................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
COVID outbreaks have been spread over 200 countries as it has negatively effacing term global
economic growth in last century. The economic fallout has resulted as the pandemic have
increases, the risk often global economic recession has increase. there have been increase in te
level of climate emergency and extreme inequality. In addition to that’s major disruption in the
field of work in respect to robots and systems replacing humans. The report will have the
discussion on macroeconomic angel point of view of COVID pandemic and government various
tools to deal with market failure. the slowdown in the economic growth due to COVID 19 have
ed many of the business to go through the major restricting. The report will include Abner
corporation breakeven point will be calculated along factors for increase and decrease of supply
and demand scale. At last the report will have case of externalities and air transport discussing
the advantages and disadvantages of air travel expansion.
MAIN BODY
Macroeconomic angel of COVID pandemic.
The spread of the pandemic has been seeping into the gulf countries and economies by
reporting the worst challenging condition. As per the research it has been stated as the
outbreak leads to a major weight on the export and supply chains to the second biggest Arab
economy.
Due to the COVID 19 pandemic, the economic recession have taken places with the un
experienced level of unemployment such as the great depression happened in the year 1930.
In addition to that, Saudi Arabia has the new orders and employment trends have lost all
the momentum with the start of year 2020. UAE have begun to limit their respective
activities due to the weaker section of orders where the employment has started to fall again
amid the efforts to streamline costs. The country and firm are facing major issues due to the
hitting of pandemic on supplier performances which is creating globally significant delays to
the freight deliveries as well as weaker export demand. The firm is also facing credit issues
back logs for the fifth running months. Due to the pandemic, there have been the increase in
the additional cost in level of poverty, upgradient of the lifestyle, career derailed along with
the increase in social unrest having the big weigh on economic growth.
Market is considered to be anticipating the hospitality, retail, real estate, construction,
banking and commodity-based companies will report up to 50 per cent decline in their
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second-quarter profits amid worldwide economic slowdown after the corona virus outbreak
earlier this year. The statistics having the look out to be COVID pandemic have affected the
job in the global levels is term to be estimated 2.7 billion workers out of job in permanent
manners.
Services sectors like the aviation and tourism industry have been hit the hardest. There
have been many of the Americans to have lost in thousand pays, laid off and closed business
responses to the pandemic. there have been many level of underdeveloped countries which is
out of pocket expenditure to push the to poverty.
As a result, the companies were hiring in aggressive manners. The jobs were lost and
people were facing the serious level of pay cuts by triggering the various difficult economic
times. The level of situations as the employer per imposes to have the period to the paid
leaves and deductions form the annual leaves. The industries have been placed on unpaid
leaves with their agreements. This has been imposed with the reduction in salary as per the
temporary and permanent basis to reduce the salaries of the employees with agreements of
employees. Hence the slowdown in the economic growth have resulting for the COVID
pandemic leading many businesses to go through the major level of restructuring such as the
head reduction, eliminating bonus along with mandatory unpaid leaves. This have there
lowering the consumer purchasing power and decresed personal speeding across broad range
of industries.
The company has the effort to minimize the redundancies and incentives with other
alternatives to reduce excess of employees. During this time the employer must continue to
provide their housing and all other entitlements (apart from basics alary) until the employee
leaves the country or gains employment with different company. In such circumstances it is
understood that the contract appendix to reduce the employee's salary as mentioned above
should be completed.1
1?Barbato, M. and Thomas, J., 2020. Far from the Eyes, Close to the Heart: Psychological Impact of COVID-19 in a
Sample of Italian Foreign Workers. Psychiatry Research.
COVID-19 impact: UAE’s credit demand takes a hit in second quarter of 2020 [ online ]
< https://gulfnews.com/business/banking/covid-19-impact-uaes-credit-demand-takes-a-hit-in-second-quarter-of-
2020-1.73081387>
.
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