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Q1. Morocco has a flexible exchange rate regime. The demand for domestic goods and services is too strong. As a result, inflation is 9%, which is above the desired rate of 5%. What alternative policy actions could Jordan implement to bring the rate down? How will these actions affect the following macroeconomic variables in the short run: Price, output, and unemployment? What are the possible effects on the same variables in the long run?
Q2. The World Economic Forum (2014) report lists UAE's ranking in twelve distinct categories that define a country's ability to compete internationally. For each of these categories, give two UAE-specific examples to justify the high or low ranking assigned to the UAE. Explain your choices.
Q3: In January 1999, the European Union adopted a common currency, the euro, marking a significant step in a long process of economic and political unification that started in the 1950s. Why and how did Europe adopt a common currency? What are the lessons learned - positive and negative - from the euro experience? How relevant are these lessons to the UAE and other GCC countries in their quest for a common currency?
Q4: The labor market in the UAE (and other GCC countries) faces important challenges related to the need to strike a balance between efficiency considerations (increasing the productivity of jobs and workers) and equity considerations (ensuring decent work for Emirati nationals). Outline the proposed solutions to theses major challenges and present how (or whether) they indeed present an efficiency-equity trade-off.
The marketing manager generally prices books at $35 each, and sales an average of 4,000 per month. Last month, she had a sale and priced volumes at $22.50 each, selling 8,500 copies. Calculate the price elasticity for these books.
Presume that the economy is in long-run equilibrium. For each of the following two scenarios describe what happens to aggregate demand, price level, and output and illustrate your answer with a graph.
Distinguish between collusive and non-collusive oligopoly. Explain the following features of oligopoly.
Discuss its implications and assess its importance for macroeconomic policy.
create a demand schedule and a supply schedule for your product.using these schedules draw a demand curve and a supply
How much of the $1000 deposit must the bank keep in reserves? How much can it loan out
Suppose this person is relatively happy with the initial amounts in his or her possession and will only consider trades that increase utility by at least amount k. How would you illustrate this on the indifference curve map?
Barney's Liquids and Aunt Bee's Lemonade plan to expand their international partnership for the marketing and distribution of ready-to-drink tea products by adding 12 countries to their current markets. If the agreement is reached, operations are exp..
Suppose you win a small lottery and you are given the following choice: You can (1) receive an immediate payment of $10,000 or (2) three annual payments, each in the amount of $3,600, with the first payment coming from one year from now, the second t..
Explain the monetarist's quantity theory of money including the significance of each component of the exchange equation and the assumptions of the model. If our goal is to focus on growth in the economy, how does this theory affect policy makers
What is the purpose of the policy Why is the policy necessary The welfare of consumers, producers, and society (the winners and losers) before and after the policy The distribution of costs and benefits Does government intervention improve the sit..
Suppose that the inverse demand function is given by P=50-Q, and cost function of a firm is C=5qi: For a competitive industry, find the market price, market output and the profit at the equilibrium.
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