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1. Explain how each of the following will affect the relative values of the dollar and the French franc:
a. Income growth higher in the United States than in France.
b. Inflation higher in France than in the United States.
c. A real interest rate higher in the United States than in France.
2. Classify each of the following as debits or credits in the U.S. balance of payments. Americans buy chocolate from the Swiss. U.S. gives foreign aid to Bosnia. British investors purchase U.S. government bonds American tourists travel to Australia Volkswagen earns profits in the United States from its new cars Toyota builds a new plant in Ohio Capital Records sells rock and roll music in Sweden
3. What will happen to a country that fixes the price of foreign exchange below equilibrium?
Explain the factors that weaken the case for the market sector, such as lack of competition, externalities, public goods, and poor information.
If equilibrium national income is 3,500 billion while the national income and output (GDP) necessary for full employment is 3,900 billion (assuming an MPC of 0.6) then. What is the size of the GDP gap? What size change in government spending would el..
Why is market demand the result of summing individual demand curves horizontally as oposed to summing them vertically?
In a market with an upward sloping supply curve and a downward sloping demand curve, a price floor A. Creates deadweight loss B. transfers some consumer surplus to producers C. Transfers some consumer surplus to consumers Choose all that apply ?
q1. two automatic systems for dispensing maps are being compared by the state highway department. the accompanying
?The interest rate is the price paid for use of a: If income increases more rapidly than expected, then:
Suppose that an impending environmental regulation to control the hazard of premaure death from 5/100,000 to 1/100,000 per year in exposed population of five million people. What is the maximum this regulaion could cost and still have benefits be at ..
Explain the relationship between administrative agency investigation of violations and the Fourth Amendment of the U.S. Constitution. Identify 5 federal, state, or local agencies that you may encounter in the field of accounting. Identify whether eac..
Suppose that TFP and the population of an economy are constant over time and equal to 1. Assume that everyone works and the labor input just equals the population. Assume that the capital stock in 2014 is 1. What is the amount of saving (and, hence, ..
If congress decides to reduce the tax paid per pack paid by sellers of cigarettes other things being equal the cost of cigarettes will fall.
Illustrate what import also export means also give one example of every in fashion area. Conduct a test of hypothesis to conclude whether the mean attendance was more.
Growth rates of per capita GDP: Compute the average annual growth rate of per capita GDP in the each of the cases below. The levels are provided for 1980 and 2010, measured in constant 2005 dollars.
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