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1.Industrial policy is not efficient because it protects inefficient industries. True / False? Discuss.
2. Would an increase in an economy's GDP affect its trade patterns in the same way as an increase in GDP per capita? Explain fully.
3. If world prices increase, the current account balance of the importing country will improve.True / False? Explain.
4. Should high-income countries erect or maintain trade barriers against imports from low-wage countries?
5. Adam Smith wrote "An Inquiry into the Nature and Causes of the Wealth of Nations". How do you account, nowadays, for the income inequality between rich and poor countries? Do countries need to be democratic to be rich?
Assume that the you test Linder hypothesis through comparing Germany's absolute difference in per capita income from each of its trading partners with size of Germany's total trade with each respective partner.
Differentiate the international financial companies that play major roles in NAFTA and Latin American Integration Association (ALADI) regional trading blocs.
My book does not explain well the formula for a Decreasing Geometric Gradient. For example: if I have an initial cost of 4 million and a yearly decreasing cost of 25 percent a year through year five, determine the equivalent PV and Annual Cost?
Explain the impact of external costs and external benefits on resource allocation and why are public goods not produced in sufficient quantities by private markets?
Company A manufacture cement sifters. The process includes melting of metals and chemicals which give sifters strength. In the manufacturing process, waste is produced and released into river that runs alongside of the plant.
ssume under a system of flexible exchange rates a black and white TV rates $150 in the United State and 18,600 yen in Japan. Other things being equal,
If the demand for a domestic currency reduces in a country using a fixed exchange rate system, determine what must the central bank do to keep the currency value steady?
One type of toy bears is in China and exported to the United State A toy bear sells for sixteen Yen in China. The exchange rate of Chinese yen and US dollars is $1 = 8 Yen.
Think the problem of maximizing u(c,l) subject to pc + wl = w + y, where c is consumption, l (element of (0,1)) is leisure time, and y is non-wage income.
Determine what role did the rules of many governments play in influencing the international expansion strategies of both McDonald's and Wal-Mart and differentiate McDonald's strategies in China with those of Wal-Mart in Mexico?
Assume that one nation subsidizes is exports and other country imposes a countervailing tariff that offsets effects, so that in the end relative prices in the second country are unchanged.
Economists generally use Porter's 5-forces framework when making a qualitative evaluation of a company's strategic position. According to Porter, his model should be used at industry level,
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