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Which of the following arguments strengthen the idea of floating exchange rates? A. Trade deficits can be corrected through changes in exchange rates. B. Changes in exchange rates will not impact the trade balance in the country. C. Governments should act in ways to minimize the uncertainty in monetary markets.
Why is an understanding of Illustrate what development means crucial to policy formulation in developing nations. Why do you think a nation may have difficulties in agreeing on a rough definition of development.
Elucidate how much consumer surplus would be created by randomly assigning buyer to sellers. Which method gives the larger surplus.
A rather wealthy man decides to arrange for his descendants to be well educated. He wants each child to have $60,000 for his or her education. He plans to setup a perpetual trust fund so that six children will receive this assistance in each generati..
Assume that a firm employs labor and capital by paying $40 per unit of labor employed and $200 per hour to rent a unit of capital. What is the firm's optimal combination of capital and labor?
Elucidate how closely do real world conditions match the charateristics listed in the model. Do they compete using price. Is the good in question standardized.
Suppose the production function for pasta is Q = 4kl. What is the long-run optimal input combination when Q = 16 , r = 4 , and w = 36 ?
illustrate what wage would a monopoly union demand. Explain how many workers would be employed under union contract.
Distinguish between skimming price and penetration price policy. Which of these policies is relevant in pricing a new product under different competitive conditions in the market?
Joe's search costs are $7 per search. He wants to buy a DVD player for his wife for Christmas and lowest price he's found so far is $200. Should Joe continue to search or buy a DVD player at a price of $200.
An important way to reduce water pollution from farms is to plant a buffer zone between crops and the water. Economists estimate that for each bush there is a $20 gain in reduced pollution. What is the market clearing equilibrium price and quantity?
Write a two-page essay in which you address the issues outlined above. Format your essay in a Word document using Times New Roman 12-point, one-inch margins and double spacing.
Explain how much consumer surplus exists in this market. If a $2.00 excise tax is levied on this good what will happen to equilibrium price and quantity.
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