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1. What are the effects on the French balance of payments of the following set of transactions? Les Fleurs de France, the French subsidiary of a British company, The Flowers of Britain, has just received :4.4 million of additional investment from its British parent. Part of the investment is a :0.9 million computer system that was shipped from Britain directly. The :3.5 million remainder was financed by the parent by issuing euro-denominated Eurobonds to investors outside of France. Les Fleurs de France is holding these euros in its Paris bank account.
2. In December 1994, a major earthquake rocked Kobe, Japan, destroying the housing stock of more than 300,000 people and ruining bridges, highways, and railroad tracks. What impact, if any, do you think this event had on the Japanese current account deficit? Why?
Describe three ways we can use macroeconomic analysis, with one (1) original example for each way.
The concepts of demand elasticities, analysis of market structures, pricing, and barriers to entry. Discuss how this type of knowledge can provide a better understanding of how firms create and sustain competitive advantage. In your answer, make refe..
Explain how should she reallocate her expenditures among the two goods.
If the total expense schedule for a perfectly competitive firm is and if market price is $60, how many units of putput will the company produce?
Describe situations and organizational variables that impact employee morale and explain, using examples, the impact of individual perception on morale.
The government uses policies like student loans and free trade to influence economy's incremental rate.
The best Leisure John may get in a week is 168 hrs. Other than that how many hours a week John works, he gets a $200 allowance from his father.
Explain why intermediate goods and services usually are not included directly in GDP. Are there any circumstances under which they would be included directly?
The government finances its purchases through lump-sum taxes on consumers, where T denotes total taxes, and the government budget is balanced every period, so that G = T. The solution for steady state capital per worker k.
D&Z Dry Foods Distributions specializes in the whole distribution of dry goods, such as rice and dry beans. The firm's manager is concerned about an article he read in the morning's Wall Street Journal
The Federal Reserve buys bonds in the open market, an open market purchase. What are the affects on monetary base, the money multiplier and money supply. The choices are increasing, decreasing, or unchanged.
Consider the Bertrand model with no product differentiated in which each firm has a positive and fixed sunk cost F and zero marginal cost. What are the equilibrium prices and profits? Illustrate your result on a proper diagram.
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