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Suppose that each US worker can produce 8 units of food or 2 units of clothing daily. In Fredonia, which has the same number of workers, each worker can produce 7 units of food or 1 unit of clothing daily. Why does the US have an absolute advantage in both goods? Which country enjoys a comparative advantage in food, why?
If you were a tobacco farmer and had two loads of tobacco that were of different qualities, which would you supply as money and which would you supply for smoking.
Determine the free trade equilibrium. Then calculate and graph the following effects of an import quota that limits imports to 50 bags. a. The increase in the domestic price b. The quota rents c. The consumption distortion loss d. The production d..
A Company is offered trade credit terms of 2/8, net 45. The company does not take the discount, and it pays after 58 days. Determine the effective annual cost of not taking this discount?
Flexible Exchange Rate - What are the advantages of flexible exchange rates respect to fixed exchange rates? Are there disadvantages?
Consumer Products Corporation is a United States regional consumer products firm located in Phoenix, Arizona. The firm produces and distributes a small line of customer products to retailers in major western cities including Los Angeles,
Calculate the value of the Intraindustry Trade
The U.S. Postal Service (USPS) operates at a loss but its closest competitors - UPS and FedEx - both operate at a profit. Suggest how fixed costs have contributed to the situation of the USPS. Provide support for your response.
the joint probability distribution between employment status and college graduation among those either employed or looking for work (unemployed) in the working age U.S. population for 2008. Joint Distribution of Employment Status and College Gradua..
Describe how economies benefit from specialization and exchange. Economics is not my strong suit. If there is a way to describe this to me in laymans terms along with an example;
Determine the effects of one country pursuing expansionary fiscal policy and tight monetary policy?
Right now many economies around the world are growing much faster than the United States. That means that the gross domestic product (GDP) of countries like China, India, Brazil, and Russia is increasing every year at a faster rate.
Below you will get a list of well known firms and items that they sell. Select one and discuss and describe which of 4-types of markets best characterizes market in which they can compete.
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