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A drug manufacturer sells a major drug in Europe and in the United States. The demand curve for the drug in Europe is P E = 10 - Q E, where P E is the price (in dollars per pound) and Q E is the quantity (in millions of pounds) sold in Europe. The demand curve for the drug in the United States is P U = 20 - 1.5 Q U, where P U is the price (in dollars per pound) and QU is the quantity (in millions of pounds) sold in the United States. The total cost (in millions of dollars) of producing the drug is TC = 4 + 2 Q, where Q = Q E + Q U. If the drug manufacturer uses a third degree price discrimination strategy, then what are the profit maximizing prices in Europe and in the United States?
In the two years prior to its merger with Nextel, Sprint Company cut approximately 2,000 workers. In addition, Sprint outsourced nearly 90 percent of its Information Technology functions from within the company to lower cost countries outside the US.
Ross Perot added his memorable "insight" to the debate over the North American Free Trade Agreement when he warned that passage of NAFTA would make a "giant sucking sound" as United State employers shipped jobs to Mexico,
For the U.S. perspective, imports are the goods produced by foreigners, imported to the U.S., and consumed by Americans. Exports are the goods produced by Americans, exported to other countries, and consumed by foreigners. U.S. GDP does not includ..
Velocity in the country of nemedia is always stable.In 2001,the money supply was 100 billion and real GDP was 300 billion .in 2002,the money supply increse by 10 percent,real GDP increased by 5 percent and nominal GdP equaled 660 billion.by how m..
Discuss and explain the difference between comparative advantage and absolute advantage. Also, provide some specific example so I can understand the difference.
The US presently has a current account deficit with Japan. Determinje what would happen to the dollar or yen spot exchange rate and the current account deficit if there were a decrease in Japanese investment in the U.S.?
A FX dealer in London normally quotes spot, 1M, 3M and 6M forward. When you ask over the phone for current quotes for YEN or USD you hear "111.43 to 51, 52 to 48, 150 to 144, 337 to 205"
Attractive children and unattractive babies tend to be treated differently. In other words, an infant's physical phenotype may alter how others respond to him or her. What type of genotype environment correlation is this an example of
Discuss the pros and cons of firms competing in global environment and how this has affected the United States economy and the global economy?
Define NAFTA using the internet to gather some information about NAFTA and why and when it was started?
Select a United State multinational corporation. In terms of currency denomination, how the firm prices its revenues and costs.
Next, suppose that the CAD to U.S. dollar exchange rate moves to $.96 CAD = $1 US. What is the new Canadian dollar price of an iPhone Other things equal, would you expect Canada to import more or fewer iPhones at the new exchange rate
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