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Q1. Suppose that on January 1, the price of one hundred yen was $0.80 and PPP held. Over the year, the Japanese inflation rate was 5 percent and the U.S. inflation rate was 10 percent. If the exchange rate at the end of the year was $0.90, does the yen appear to be overvalued, undervalued, or at the PPP level? Explain your answer.
Q2. It has been noted that during World War II, Germany made a critical mistake by having its formidable Tiger tanks produced by locomotive manufacturers while the less formidable U.S. Sherman tank was produced by American car manufacturers. Use the product-process matrix to explain that mistake and its likely result.
It comes to global expansion and setting up affiliates aboard, how is a service company's focus different from that of a manufacturing company
In Managerial Economics, Applications, Strategy, and Tactics, if contract promises were not excused because of acts of war, would the clearing and settlements clients of Bank of New York change their behaviour
Discuss the pros and cons of annuities when compared with other financial instruments and whether they provide a better investment opportunity for some people.
Select the most serious disadvantage of globalization (in your opinion) and make at least one recommendation
Suppose that the market for wheat is characterized by the following demand and supply relationships.
A residential rental property is acquired during the first month of the taxable year, at a total cost (including transaction costs) of $1,200,000.
If most businesses in an industry are earning a 13 percent rate of return on their assets, but your firm is earning 23 percent what is your rate of economic profit
New manufacturing technologies are often viewed as labor saving in nature. Using a production possibilities frontier with manufactured capital goods on one axis and labor-intensive goods on the other axis.
The equilibrium quantity increase or decrease depends on Demand
Changes in disposable income affect government purchases and the government purchase function. How do changes in net taxes affect the consumption function.
Compare the rationale of the Reagan administration for the 1981 tax reductions with the rationale behind the Kennedy-Johnson tax cut of 1964
Each station's objective is to maximize its viewing audience, in order to maximize the station advertising revenue.
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