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Suppose that the Untied States decides to subsidize the export of U.S. agricultural products, but it does not increase taxes or decrease any other government spending to offset this expenditure. Using a three-panel diagram, show what happens to national saving, domestic investment, net capital outflow, the interest rate, the exchange rate, and the trade balance. Also explain in words how this U.S. policy affects the amount of imports, exports, and net exports.
A theory of economic growth cannot ignore the importance of technological progress and human capital. Discuss whether you agree or disagree with this statement using evidenc
International managements whether the UN, NATO, World Bank, WTO, IMF and others are no more than playgrounds of major powers who use these multilateral institutions to advance
If the account increased at a market rate of 15% per year and inflation averaged 3% per year over the entire deposit period, determine the purchasing power in terms of year-
Corporation A, a low rated company, desires a fixed-rate, long term loan. A currently has access to floating interest rate amount at a margin of 1.5 percent over LIBOR.
Sydney wants start a new business, but would have to give up a job with a total compensation of $100,000 every year. After researching new business opportunity, Syndey develop
Assume that the banking system initially has no excess reserves and that the reserve requirement is 10 percent. Also suppose that velocity is constant and that the economy i
The United States in currently running a large current account deficit. If Congress and the White House decide to enact policies to reduce or eliminate the deficit, what act
It may be on trading, manufacturing, service, financial institutions. It could be on any type of activities that has economic issues. You can choose your own topic. If you w
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