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Turkey's price for the Big Mac Index is 3.41$ and the US price of a Big Mac is 4.93$ based on this criteria is it over or undervalued? If Turkey's y moves in the direction of indicated by the “Big Mac Index’, how do you think this will affect your Turkey's balance of trade?
Globalization impacts virtually every industry. Select 3 industries and list for each a couple of ways in which they are impacted by globalization?
Firm A and Firm B are competitors in the same industry. The two firms have similar operating costs, except Firm A has more fixed operating costs than Firm B. As a result, which firm would experience a greater change in operating income as the result ..
In competitive market the market demand is Q=60-6P and supply =4P
A purely competitive wheat farmer can sell any amount of wheat he grows for $20 per bushel. He is using a fixed amount of capital (tractors and plows) and he and his sister are the only workers. Thus cultivating each additional acre of land exhibits ..
The higher the marginal propensity to consume the more powerful tax policy is to influencing consumption. Negative real interests rates imply that if you save today, you can purchase a smaller basket of goods and services in the future, relative to t..
For the purpose of these exercises, let the firm's profits be given by P(x) = 20x - x^2, and let damages be given by D(x) = 2x^2. Under these situations find: Level of output x, Producer surplus and net damages. A regulator imposes a unit Pigovian ta..
Scores on the SAT verbal test in recent years follow approximately the N(515, 109) distribution. How high must a student score in order to place in the top 5% of all students taking the SAT?
Describe a national model of universal healthcare coverage. Compare the model's methods of funding for healthcare in the United States. Identify which one you think is best by discussing access and quality detail.
A standard ’money demand’ function used by macroeconomists has the form ln(m) = β0 +β1 ln(GDP)+β2R, where m is the quantity of (real) money, GDP is the value of (real) gross domestic product, and R is the value of the nominal interest rate measured i..
Identify the two events that can cause a shift in the Production Possibilities curve.
If the American auto companies make a breakthroufh in automobile technology and are able to produce a car that gets 70 miles to the gallon, what will happen to the value of the dollar? Use the demand-supply model of the dollar to explain.
Which of the following is a rate that should theoretically serve as a floor for the Fed funds rate? If a security dealer "repos securities," they are a. An increase in the supply of reserves in the banking system leads to an increase in the Fed fund..
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