1. How can regulation on businesses result in a 'hidden tax' to consumers?

A) Consumers may be required to pay large fees to have their garbage carried off to a landfill.

B) States could raise their sales taxes to compensate for higher regulatory costs.

C) Businesses could pass regulatory costs on to their consumers in the form of higher prices.

D) Purchasing in larger quantities may actually become more expensive per unit than smaller purchases.

E) Consumers may have to pay for recycling products that have been used or disposed.

2. a) Clayton Christensen opines in his book, Innovator’s Dilemma , that disruptive technologies are often embraced by the least profitable customers ( at the time disruptive technologies are introduced). Explain Christensen’s rationale. Use a firm as an example.

b) Identify the 6 models for prediction and describe each of these prediction models.