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Developing countries complain that the current international trade practice doesn’t reward the developing countries due to the worsening terms of trade of primary products that are exported mainly from developing to developed countries. In response to such situation, it is suggested that developing countries create cartel in order to control the price of their exportable primary products. What are the challenges of such trade policy?
Lucas Construction just purchased a new track hoe attachment costing $12,500. The CFO, Mr. Cameron Lucas, expects the implement will be used for five years when it is estimated to have a salvage value of $4,000. Maintenance costs are estimated to be ..
From the scenario for Katrina's Candies, determine the relevant costs for the expansion decision, and distinguish between the short run and the long run costs
A firm in a purely competitive industry is currently producing 1,000 units per day at a total cost of $450. If the firm produced 800 units per day, its total cost would be $300, and if it produced 500 units per day, its total cost would be $275. If e..
A number of Latin American nations export coffee and import other goods. A long-term drought now reduces coffee production in the countries of this region. Assume that they remain exporters of coffee. Explain why the long-term drought in the region m..
Supply side theorists claimed all of the following justifications for their theory, except:
According to the article " IMF: Austerity is much worse for the economy than we thought", the austerity measures made European economies worse because. The World Trade Organization (WTO):
At the moment, the market is completely ignoring things like record US trade deficits and the widening current account deficit. It is also largely ignoring the possibility of Federal Reserve rate cuts. Traders and investors are instead focusing only ..
What has happened to the US Dollar exchange rate with the Euro (the currency of the European Union) over the past four years. What are the explanations for any changes? What does it mean to Americans?
What are the four roles that states can play in negotiated global environmental regimes? What determines what role a state might play? Why do states sometimes shift roles?
If the goal of the firm is both short- and long-run profit maximization, Discuss goals a firm might have which seem to not agree with profit maximization. are these goals consistent with profit maximization?why or why not?
A medicine that almost always cures Hepatitis C has been developed. The price of the medication (for enough to result in a cure) is $95,000 (really). Explain how, at this price, the market fails to achieve allocative efficiency. Why is this price cha..
Given the current condition of the US economy, do you think US policy makers would prefer to see the $ rise in value, decline in value or stay at its current value? Discuss the advantages and disadvantages to the US economy at this time of a stronger..
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