National supply and national demand curves, Mechanical Engineering

National supply and national demand curves:

1. Explain why neighboring countries tend to trade extensively with each other.

2. Use Table 1.1 to find the five most open economies in 2009. How does the growth performance of these countries compare with the growth of the average country listed in the table? What does this say about trade? Please note which edition of the book you are using.

3. According to figure 1.2, intra-European Union trade accounts for a large portion of the EU trade. What factors can explain this?

4. Consider a two good (raincoats, umbrellas), two country (Eugene, Corvallis) economy. Suppose that the prevailing world relative price of umbrellas is lower than Eugene's relative price of umbrellas under autarky. Would Eugene be a net importer or exporter of umbrellas? Would Eugene import or export raincoats? Explain your answers.

5. Consider the country of Eugene, which can choose to produce microbrews, bicycles, or both. Eugene's production is one of constant opportunity costs. Given full employment of its labor and capital, Eugene is capable of producing 3,000 bicycles. The opportunity cost of producing a microbrew is .25 bicycles. Draw the production possibility frontier of Eugene. Show all calculations.

6. Suppose the United States produces either fur hats or vodka. The national supply and demand curve for the United States fur hats are:

P = 250 - FH (National Demand)

P = 125 + FH (National Supply)

a.) Graph the national supply and national demand curves.

b.) What is the autarky price of fur hats in the United States? How much quantity is produced/consumed?

c.) Suppose the world price of fur hats is $100. Will the U.S. export or import fur hats? What quantity will they import/export?

 

1870_National supply and national demand curves.png

Posted Date: 2/11/2013 7:25:36 AM | Location : United States





i am a diploma holder.....i am sure that i am a heardworker.
Posted by biman dey sarkar | Posted Date: 7/2/2013 12:53:34 PM


Related Discussions:- National supply and national demand curves, Assignment Help, Ask Question on National supply and national demand curves, Get Answer, Expert's Help, National supply and national demand curves Discussions

Write discussion on National supply and national demand curves
Your posts are moderated
Related Questions
ARC INITIATION Touch Start With the power supply energised and the shielding gas flowing through the cup, the torch is lowered toward the workpiece until the tungsten electr


Q. What is Bolt Elongation? The required bolt elongation Δ 1 may be calculated by the equation (7): Δ 1 = 3.25 * 10-8 * SB * L0 (in) (7) Where L 0 is the effect

If High Resistance or Low Current in Primary Coil Circuit Causes of Problem Remedy   Disconnected or loose wires


Q. What do you mean by Moulding materials? Various types of materials are used in the foundries for the manufacture of casting moulds and cores. These materials are divided in


Q. Calculate flange stresses? Step 1: Calculate flange stresses for system design conditions using existing gasket dimensions. The minimum width of the gasket should equal or

Find the twist of a circular hollow shaft: Discover the twist per metre length of a circular hollow shaft having 120 mm outer diameter and 90 mm inner diameter, respectively,

A sign of uniform density weighs 270 lb and is supported by a ball-andsocket joint at A and by two cables. Determine the tension in each cable and the reaction at A.