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Q1. If the US economy is operating near full employment and the exchange rate increases (the dollar appreciates), explain why the Federal Reserve will be less inclined to raise interest rates.<?xml:namespace prefix="o" ns="urn:schemas-microsoft-com:office:office"?>
Q2. Find examples in current news publications of the strategic responses of individual businesses to changes in currency exchange rates. Are these firms adapting to the changing international environment, or are they engaged in political action to try to modify that environment?
Q3. When McDonald's introduced its Dollar menu strategy in fall 2002, why was the company assuming or hoping that the demand for its products was elastic? Did this appear to be the case?
Q4. Compare and contrast McDonald's strategies in China with those of Wal-Mart in Mexico.
Explain was the demand for its hamburgers elastic or inelastic. Evaluate the accuracy statement.
Elucidate proponets of free market systems argue that free enterprise leads to more efficient production and better responses to changing consumers preferences.
In Japan, Toyotas can be produced at 1,900,000 yen and Chevrolets at 1,600,000 yen. In terms of Chevrolets, illustrate what is the opportunity cost of producing Toyotas in each country.
Smith Co saw a reduction in quantity of widgets is sold, down to 900 units. What is cross elasticity of demand between two brands of widgets.
Illustrate what total amount of output will firm A produce in a competitive market. Which output level would be efficient.
For several months before your vacation trip to Germany you find out the exchange rate for the peso has increased relative to the euro.
Assume that Densa Inc. falls 10 percent short of producing the profit maximizing output. Would a higher product price lead to greater output
a homeowner can insulate his house and save $50 each year in heating bills. If the interest rates are 6%, should the house owner insulate or not.
Why is an understanding of Illustrate what development means crucial to policy formulation in developing nations. Why do you think a nation may have difficulties in agreeing on a rough definition of development.
If Michael is spending all of his money on these 2 snacks which he purchase more chips also less ice cream as well as purchase less chips.
why Marx calls it an ‘absurd tautology' that value of labour is determined by that labour. How can a tautology be absurd.
What is the impact of a tax cut in an economy operating under a fixed exchange rate regime on household spending, interest rates.
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