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Greece has few workers per unit of land while France has many workers per unit of land. Steel is labor intensive and rice is land intensive. According to the long run Heckscher-Ohlin model what happens when these two countries move frome no trade to free trade? Wages in France's rice industry? Wages in France's steel industry? The price of land use in Frances steel industry.
If offshore assembly provisions were extended to include more goods and services, what would this do to the actual level of protection provided by a nation's nominal tariff schedule? Describe your reasoning.
My income is $300 a month, the price of good X is $4, and value of good Y is also $4. Given these prices & income, I purchase 50 units of X and 25 units of Y.
In the same context of Q6 above, briefly explain why the prices of Short Term US treasury securities are still high enough to keep the interest low enough despite the fact that the US Bond rating has been downgraded from AAA status to AA+ by S&P i..
Assume that nominal interest rate on 3-month Treasury bills is 8 percent in the United States and 6 percent in the U.K., and the rate of inflation is 10% in the United States and 4% in the U.K.
The U.S. at the end of World War II stood as the world preeminent superpower, with new discovered political and economic wealth. To what degree, if any, has U.S. ascendancy on world stage affected notions of federalism?
Presidents, senators and members of congress came from a different backgrounds but all must decide upon a great many issues that involve macroeconomics.
The world price of wine is below the price that would prevail in the United States in the absence of trade. a.) Assuming that American imports of wine are a small part of total world wine production, draw a graph for the U.S. market for wine under ..
Information covering the most recent thirty days are given in the following table for the rate per gallon of regular gasoline at a local station.
Discuss similarities between the principle of comparative advantage and absolute advantage? Are there any differences between two principles?
Smith identify that if the forward rate is lower than what interest rate parity indicates, the appropriate strategy would be to lend:
Make a case for the effects of each of these changes on the Pastoral Nomad lifestyle and given constraints in semi-arid environments, to what extent has the pastoralist lifestyle become unsustainable?
California prisons are overcrowded. The State has the choice between building new prisons and relaxing parole standards (so that prisoners are released on parole earlier). Due to the budget crisis, it has chosen to relax parole standards.
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