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Imports, exports, and the trade balance The following table shows the approximate value of exports and imports for the United States from 1983 through 1987. Complete the table by calculating the trade surplus or trade deficit both in absolute (dollar) terms and as a percentage of GDP.
Restaurants have observed that large parties (eight or more) leave a lower average tip than smaller parties. Identify the effect, which also makes it more difficult to reach global environmental agreements, responsible for this phenomenon.
BP Oil is in the process of replacing sections od its Prudhoe Bay, Alaska oil transit pipeline. Illustrate what required return does the project become financially unacceptable.
Suppose that Ellen has $I to spend on goods x and y: The price of good x is px and the price of good y is p y: Write down Ellen's budget line and draw it. Indicate the slope, as well as the vertical and the horizontal intercept.
“Rising oil prices will lead to decreased employment, lower wage rates and decreased real money balances.” Comment on this statement with the help of an AD-AS diagram and explain the short-run and long-run adjustment processes.
q1. explain the role culture may play in influencing entrepreneurship both at the individual and social level. define
The consumption function is C = 0.75Y where the marginal propensity to consume MPC equals .75 (out of an additional $1 in national income 75 cents is consumed). The government increases its purchases by $100 million, and investment and net exports do..
The firm is going to borrow the money for its capital purchases. The interest paid on the debt can be added to accounting costs. Suppose it turns out that the present value of this expense is .10 for every dollar of capital purchased. What is the ..
Suppose that a country’s inflation rate increases sharply. What happens to the inflation tax on the holders of money? Why is wealth that is held in savings accounts not subject to a change in the inflation tax? Can you think of any way holders of sav..
Discuss the implications of the outsourcing of labor for the nation as a whole, and see if you can find an example to cite within the region, where a company or factory has shifted production to Asia or elsewhere overseas.
In theory, how is managed care expected to affect patient and providers incentives, and hence, the cost and use of medical care? What is the evidence?
Explain how political obstacles (lack of skilled officials, instability, corruption, and constaints by special interest groups) and cultural obstacles (cultural attitudes that discourage entrepreneurial activity and and encourage rapid population gro..
What happens when tariffs are imposed, in terms of the importing and exporting countries? Use graphs as needed and explain your answers thoroughly.
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