Sentence examples for profit externalities from inspiring English sources

In that situation, the MNE has no incentives in conducing wage negotiations with the headquarters agents, since the internalization of subsidiary profit externalities puts the unions in a stronger position.

This coordination effect overcomes both the cross effects of employment and the internalization of profit externalities (see Eqs. (19), (15) and (11)), which leads to lower negotiated wages and higher employment levels.

On the contrary, if (tau w_{CN} ) and (l_{i,CN} >l_{i,CC} ): despite unions' outside option is falling to zero, the coordination advantages for the MNE are not sufficient to dominate the internalization of employment and profit externalities.

Formally, the simple CW standard ignores providers' profit and the insurance externality.

But the argument can be made that market growth, by virtue of its overriding obedience to profit, is congenitally blind to such externalities.

The late sales, typically from positive consumption externalities, are targeted at collecting profits by enlarging the market.

Treating the environment as an externality may generate short-term profit at the expense of sustainability.

This is intuitive because when products are scarce and there are weak positive externalities, the firm should focus on profiting from snobs by raising the price in the first period.

We also show that the presence of network externalities affects the optimal behaviour of the profit-seeking firm but not that of a benevolent planner, who serves all consumers and smooths the R&D costs leading to a steady state quality which is independent of network concerns.

These opportunity costs can be estimated using a production possibility frontier in which the maximum profit from currently marketed outputs is a function of the externalities.

These three challenges are interrelated; (1) companies are expected first and foremost to deliver a profit; (2) it is hard to find the business case when externalities are not costed in, and (3) investors and customers – the individuals who most impact companies – do not encourage behaviours that are in the best interests of society and of the planet.