In a first scenario, the intermediate good
is produced by a public monopoly.
As is standard in models of monopolistic competition, the author gets the result that the price charged for each variety of intermediate good
will be a fixed mark-up over marginal cost:
The goods are called intermediate goods
and are produced goods which through the production process are transformed into goods of a greater value, whether another intermediate good
or a final good.
Under perfect competition, profit maximization will cause the price of the intermediate good
to equal [Gamma].
There are four types of production activities in this economy: final good production, intermediate good
production (a continuum of sectors located on [0, 1]), physical and human capital accumulation and R&D.
A comparison between equations (14) and (15) would show that while a large intermediate good
exporter will always impose a tariff, a large intermediate good
importer may opt for a subsidy (negative tariff) if the marginal productivity of home goods output with respect to the intermediate imports is small enough.
Five hundred domestic firms, suppliers of services, raw materials and intermediate goods
, cooperate with the automotive sector in Macedonia's zones.
El-Menilawy added that the CBE on Tuesday morning had asked the departments responsible for issuing letters of credit in banks to submit reports of the requests of customers whose intermediate goods
are stuck in customs.
A future challenge for both countries is how to transform their mono-culture trade form into a trade structure with a higher share of exports of intermediate goods
The National Economic and Development Authority, however, said data showing that robust growth in imports of raw materials and intermediate goods
reflected optimism of local businesses that demand for their goods would strengthen in the months ahead.
The number of employees in industry by main industrial groupings in November 2013, in comparison with November 2012, was higher in Intermediate goods
industries, except energy by 1.
The stocks of raw materials and intermediate goods
and the purchases of raw materials and intermediate goods
in December 2012 are below and around the normal level.