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Q. Discuss the costs and benefits of FDI to host country?
Benefits to host country Availability of scarce factors of production Improvement in the balance of payment Strengthening of government budget Building economic and social infrastructure Costs of the host country Deteriorate the balance of payment Host country depends on the MNC for technology MNC are reluctant to train local people and uses capital intensive techniques Foreign companies infuse foreign culture into the industry set up and society Sales of domestic companies decrease as foreign company has technologically more superior products.
Q. The figure below shows the demand and cost functions facing a Brazilian Steel producing monopolist. If it were unable to export, and was constrained by its domestic market, wh
Q. One of the usually used assumptions in deriving the Heckscher-Ohlin model is that tastes are homothetic, or that if the per capita incomes were the similar in two countries, th
Explain about International economic integration. EU
How to derive offer curve and its difference from reciprocal demand curve
Q. The Metzler Paradox is a special case of the optimum tariff idea. Discuss this assertion. Could the optimum tariff tend to be a high one or a low one in the case where this p
Q. "It is in the interest of each depositor to withdraw her money from a bank if all other depositors are doing the same, even when the bank's assets are sound." Discuss. As par
Q. Explain why one can write the demand for money as follows: Md = P L (R, Y) Answer: The collective money demand is proportional to the price level. Imagine that every prices
Open Cities & Open Coastal Areas: like the Sezs, aimed at attracting foreign investments and technology. They are : Dalian (Liaoning province); Qinhuangdao (Hebei), Tianjin, Yant
Q. Explain the advantage a and disadvantage of globalization? Advantages - 1. Economic growth 2. Lower cost 3. Improved availability of goods and services 4. Glob
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