... investments than are needed for meeting the expected future outflow of retirement payments. This is true, for example, of the California State Employee Retirement System. Therefore, if the company ... 7. Suppose you work for Levi Straus and the demand for blue jeans suddenly increases. Discuss possible short-run and long run movements of the market and the consequences for your company. 8. ... break with their past commitments. For example, if a firm, which was once insulated from foreign competition, must all of a sudden confront more cost-effective foreign competitors in domestic...