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America takes 10 hours to make a cup and 5 hours to make a bag. In Britain the two goods cost $24 and 6 hours. America has 40 hours of labor available. Which goods does America export. Which country has the higher wage?
If the European slump also leads to a slowdown of the other economies that import goods from the United States, the effect could be larger. Assume that US exports decrease by 5% (as a result of changes in foreign output) in one year. What is the ..
Suppose that the world price for steel is below the U.S. domestic price, but the government requires that all steel used in the United States be domestically produced. a.Use a diagram like the one below to show the gains and losses from such a poli..
Consider two countries, Canada and China. Canada has comparative advantage in oil production, and China in shoes production. Suppose China grows in a NON biased way, i.e., both sectors grow in the same way.
in markets where minimum efficient scales are very high relative to demand government often steps in to regulate. firms
What is the marginal product of labor and What weekly economic rent does Dave receive from being an economics instructor and also describe law of diminishing marginal product
arbitrage in financial markets1. it costs 12.19 mexican peso to buy us1. interest rates on one year bonds of the
Describe how each of the following will affect the relative values of the dollar and the French franc, Income growth higher in the US than in France.
Assume that 1967 is the base year for the Consumer Price Index and in 1988 the CPI is 340. What does this "340" mean?
1.industrial policy is not efficient because it protects inefficient industries. true false? discuss.2. would an
"Capital Investments" Please respond to the following: With the current U.S. economy in a weakened state, many companies are reluctant to implement any capital improvements or capital expenditures in fear of the economic uncertainty.
A United State Company, has a subsidiary in Europe. it is deciding whether to invest $2 million of its (the parent company) funds in a 3 year project in Europe.
An economy can be stimulated through printing more money. Determine the dangers of doing that? Inflation can be reduced by reducing the money supply.
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