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Given below is information on all of the entries in Balance of Payments of a hypothetical developing country:
Commodity exports = $28 million
Debt service payments = $1 million
Remittances from abroad = $2 million
Commodity imports = $34 million
Private FDI inflow = $0.5 million
Investment income = $1 million
Based on this information, answer the following questions:
a) What is the value of current account balance? b) What is the value of capital account balance? c) What is the value of cash reserve account?
Explain why time management, communication and motivation are given more importance in the project management environment in contrast to traditional management environment.
The market for tennis shoes has a horizontal supply curve and a linear, downward-sloping demand curve. Currently the government imposes a tax of t on every pair of tennis shoes sold and does not tax other goods. the total deadweight loss caused by th..
Suppose there are two inputs in the production function, labor (L) and capital (K), which can be combined to produce Y units of output according to the following production function: Y = 30K + 10L The firm wants to produce 600 units of output.
Oil and gasoline prices are a concern in the United States. Why does this economic problem exist from a supply and demand perspective, what can be done to improve resource allocations.
Several questions in this problem set are based on the 8/19/12 Wall Street Journal article "Cartel Pushes Up Price of Rubber." This article is at the end of the module on Antitrust Policy. Try to read the entire article carefully first.. What challen..
A firm has the production function x = f (L) , where x is output and L is labor input. The firm buys the input in a competitive market. What restriction do we have to impose on the production function to ensure the second-order conditions in problems..
Consider the current economic conditions, including inflation and economic growth. Do you think the Fed should increase interest rates, reduce interest rates, or leave interest rates at their present levels? Offer some logic to support your answer
Summarize Kuznets's Inverted-U Hypothesis and discuss the conceptual merits and limitaions of this hypothesis, especially in reference to African countries.
What is the "current macroeconomic situation" in the U.S. (e.g. is the U.S. economy currently concerned about unemployment, inflation, recession, etc.)? What fiscal policies and monetary policies would be appropriate at this time?
Recently, the House of Representatives passed legislation to increase the minimum wage in the nation from $5.15 to $7.50. What are the pros and cons of this proposal? Provide an analysis based on the demand and supply of labor.
The state if Arizona decided to boost its own minimum wage rate by $1.60/hr. This pushed the wage rate earned by Arizona teenagers above the equilibrium wage rate in the teen labor market.
You have just invested a one-time amount of $5,000 in a stock-based mutual fund. This fund should earn (on average) 9% per year over a long period of time. How much will your investment be worth in 35 years?
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