We studied production functions in chapter

Assignment Help Business Management
Reference no: EM131171282

The following statement is from the article "The Iowa Car Crop" written by Steven E. Landsburg:" David's observation is that there are two technologies for producing automobiles in America. One is to manufacture them in Detroit, and the other is to grow them in Iowa. Everybody knows about the first technology; let me tell you about the second. First, you plant seeds, which are the raw material from which automobiles are constructed. You wait a few months until wheat appears. Then you harvest the wheat, load into ships and sail the ships eastward into the Pacific Ocean. After a few months, the ships reappear with Toyotas on them. International trade is nothing but a form of technology. The fact that there is a place called Japan, with people and factories, is quite irrelevant to Americans' well-being. To analyze trade policies, we might as well assume that Japan is a giant machine with mysterious inner workings that convert wheat into cars." Please answer the following questions:

(a) We studied production functions in chapter 9 and 10. Do you find any similarities or differences? Please explain.

(b) Under what circumstances, it is efficient to use the second technology as opposed to the first one (producing cars in Detroit)?

Reference no: EM131171282

Questions Cloud

Specific economic concepts to support answer : Do you agree or disagree with the following statement: "If every firm in the economy fullyutilises its resources and the available technology does not change, production in theeconomy will be efficient." Use specific economic concepts to support y..
Define why interoperability important to healthcare delivery : Identify four essential interdisciplinary team members to be on the project committee, including each team member's position in the organization. Describe the role each team member identified in part A3a will play in migrating to the common health..
Calculate the value of the diffusion coefficient : After a time of 6.52 min the mole fraction of CO2 in the upper tube is 0.0912. Calculate the value of the diffusion coefficient.
Concepts of servant leadership and value-driven leadership : Explain which was more successful: the British repression, or Gandhi's campaign of nonviolence? Draw primarily on the concepts of Servant Leadership and Value-Driven Leadership in your response
We studied production functions in chapter : (a) We studied production functions in chapter 9 and 10. Do you find any similarities or differences? Please explain. (b) Under what circumstances, it is efficient to use the second technology as opposed to the first one (producing cars in Detroit)..
Situation in terms of income and substitution effects : In his article, "How Statistics Lie: Unemployment Can be Good for You", Steven Landsburg is arguing that inflation rate calculated simply as rise in price levels is not very informative. a) Explain the situation in terms of income and substitution..
Discuss what risk assessments should be completed : what risk assessments should be completed that is specific to the age group and why. -  What type of health promoting education does the family need?
How are the laws used in the interview process : How could each of the employment laws affect attracting potential candidates to your company or industry?
What is the time constant of this system : Assume the sphere is initially at 95?C and the environment temperature remains constant at 35?C. What is the time constant of this system?

Reviews

Write a Review

Business Management Questions & Answers

  Roles and responsibilities of leaderswhat would be some

roles and responsibilities of leaderswhat would be some roles and responsibilities of leaders in creating and

  Explain what do you think the advantages system

Explain What do you think the advantages and disadvantages of this system are

  Important information about scientific theories

When evaluating a theory, which of these criteria do you think is the most important, the least important, and why and do all of these criteria need to be satisfied for the theory to be considered a valid or good theory

  Calculate the shortage or surplus

The demand function of a food product is given as QD = 16 - 3P, while the supply function is given as 5P. Suppose, the current market price is $3 per unit, then

  American recovery and reinvestment act of 2009

American Recovery and Reinvestment Act of 2009

  Conflict management approaches - direct and indirect

What are some of conflict management approaches and what are the differences between direct and indirect conflict management approaches?

  Topic of a quality management-related subject

Select a specificarticle of interest to you on the topic of a quality management-related subject.Examples may be how a given quality related problem was approached or solved at a company, or how a method of quality improvementwas us..

  Explain what is the economic order quantity

Explain What is the Economic Order Quantity and What is the total annual order and inventory holding costs for the EOQ and What is the reorder point without safety stock?

  Determine the actual output

An effective capacity of 6,600 and an efficiency of 88%, determine the actual (planned) output.

  Gain or loss on the sale

Anton purchases a building on May 4, 1993, at a cost of $270,000. The land is properly allocated $30,000 of the cost. Anton sells the building on October 18, 2010, for $270,000. What is his gain or loss on the sale if he uses the regular MACRS sys..

  Will all those recruited be included in the study

What population does the sample belong to? Ie: What are the general demographic characteristics of the population (students, children, healthy adults, mentally ill adults etc).

  Posting addresses accurate percetionsare accurate

posting addresses accurate percetions.are accurate perceptions always necessary to develop sound decisions? is it

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd