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In some developing countries, you can see modern airports, huge government buildings, and new highway system around the capital city. However, those countries' real GDP are still low. Would you provide the possible reason to explain why the expansionary fiscal policy doesn't work in those countries?
In 2006 the hourly cost to workers per German industrial employee was $33. The hourly expense to employers per United States industrial employee was $23.65 while the average cost per Taiwanese industrial worker was $6.38.
Identify and discuss any two modern day events that illustrate interconnections between countries. Be sure to be specific about the events, and clearly explain ways in which such events evidenced the interconnections between countries.
Let us determine what happens to exchange rate between the U.S. and imaginary country of Oz. The ruler of Oz is a totalitarian wizard. Since the economy of Oz is centrally planned
Calculate the ES in autarky and under conditions of free trade. Assume the world price is $45. c) Apply a $2.50 tariff and recalculate economic surplus (including tariff revenue). Has ES gone up with imposition of the tariff d) Evaluate the fo..
The travel-to-work time for residents of the 15 largest cities in the United States is reported in the 2003 Information Please Almanac. Suppose that a preliminary simple random sample of residents of San Francisco is used to develop a planning val..
Suppose that the U.S. dollar-pound sterling spot exchange rate equals $1.60/£, while the expected future rate is $1.64/£. The yield on a one-year U.S. Treasury bill is 9% and on a one-year U.K. Treasury bill the yield is 8%.
Flexible Exchange Rate - What are the advantages of flexible exchange rates respect to fixed exchange rates? Are there disadvantages?
Why would a country (for example, China) choose to keep their currency relatively pegged to the U.S. dollar. If the U.S. dollar were to appreciate considerably against most currencies, what would be the effect on Chinese exports to countries othe..
a) Briefly explain why each of the following would cause the Aggregate Demand curve to shift to the right(an increase), or to the left(a decrease):1) an increase in housing prices 2) a decrease in interest rates 3) expectations that the economy wil..
According to the New York Times (November 18, 2006), the number of car producers in china is increasing rapidly. The newspaper reports that "china has more car brands now than the United States But while car sales have climbed 38 percent in the fi..
what are your thoughts on the fact that although China, over the last few years, has averaged pretty robust economic growth, the Chinese have been buying a lot of US treasury bills, effectively investing in the US economy as opposed to further inv..
Discuss the process of starting a new international bond issue to market and what should a borrower consider before issuing dual currency bonds?
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