Reference no: EM13838693
1. Assume a specific factors economy produces two goods, cloth and food, and that when representing the output of this economy graphically, cloth is on the x-axis and food is on the y-axis.
When the price of cloth increases by 10% and the price of food does not change,
A) the outputs of the two goods does not change
B) the wage rate rise by more than the increase in the price of cloth
C) labor shifts from cloth sector to the food sector.
D) the output of cloth rises
2) When opening up to trade, an economy
a) exports the good whose relative price has increased and imports the good whose relative price has decreased
b) exports and imports the good whose relative price has decreased
c) exports the good whose relative price has decreased and imports the good whose relative price has increased
d) exports and imports the good whose relative price has increased
3) Movement of labor from a Foreign country to the domestic (Home) economy
a) increases the marginal product of labor at Home
b) increases the marginal product of labor in Foreign
c) leaves the marginal product of land unchanged in both countries
d) occurs only if the marginal product of labor is higher in Foreign than at Home
4) Trade hurts
a) the factor that is specific to the export sector of each country
b) all factors in the economy
c) the factor that is specific to the import-competing sectors.
d) mobile factors
|
How long does it take to pay off the mortgage
: A 30-year mortgage for $95,000 is issued at a 9% nominal interest rate. What is the monthly payment? How long does it take to pay off the mortgage, if $1,000 per month is paid? How long does it take to pay off the mortgage, if double payments are mad..
|
|
Subway system-loss of revenue is likely to overestimate
: Skyscraper City has a subway system, for which a one-way fare is $1.50. There is pressure on the mayor to reduce the fare by one-third, to $1.00. The mayor is dismayed, thinking that this will mean Skyscraper City is losing one-third of its revenue f..
|
|
Formulate optimization problem and solve for demand function
: Chris consumes only 2 goods, Suppose his utility function is U(X1,X2)=X1 1/3,X2 2/3, Suppose P1 =$2,P2= $8 and income(I)=$600 I want to know how to do the problem, so I need to see all the steps it takes to arrive at the correct answers for a,b and c..
|
|
What is the standard error of the mean
: An accounting firm is planning for the next tax preparation season. From last year's returns, the firm collects a systematic random sample of 100 filings. The 100 filings showed an average preparation time of 90 minutes with a standard deviation of 1..
|
|
Movement of labor from foreign country to domestic economy
: Assume a specific factors economy produces two goods, cloth and food, and that when representing the output of this economy graphically, cloth is on the x-axis and food is on the y-axis. Movement of labor from a Foreign country to the domestic (Home)..
|
|
What is the utility maximizing or optimization condition
: Mary is in equilibrium. The MUa =6, MUb =12, Pa=2, what is the price of b? Zach is in equilibrium. The MUa=2, MUb=8, what is the price of a in terms of the price of b? What is the utility maximizing or optimization condition?
|
|
How would you determine wether your managers view is correct
: How would you determine whether your manager's view is correct that it is impossible to select at random 10 art cycles that did not result in a clinical pregnancy?
|
|
Determine the equilibrium price and quantity and demonstrate
: Draw the supply and demand curves on the same diagram. Determine the equilibrium price and quantity and demonstrate it in your graph. Calculate the ARC elasticity of demand when the price move from $6 to$10
|
|
Using an annual cash flow analysis
: A college student has been looking for new tires. The student feels that the warranty period is a good estimate of the tire life and that a 10% interest rate is appropriate. Using an annual cash flow analysis, which tire should be purchased? Tire War..
|