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How complex pricing models were employed to cause worldwide currencies to weaken or strengthen. Describe the influences that caused the yen to fall. Further, describe the effects on world currencies seen since the writing of this article. How did the Fed’s actions affect worldwide supply and demand? How might you change your buying behavior with the knowledge of how currencies fluctuate?
What do you understand about how gas prices are determined? Do you believe that the policy needs to have changes? State your opinion and support it by using the simple pricing model and external evidence critiquing or supporting your arguments.
Describe your opinion of direct and indirect price discrimination. How do these strategies affect consumers? Do these strategies violate the intent of antitrust laws or do you think they are ethically defensible practices for businesses? Explain your rationale. What factors would have to change to make you change your opinion?
During the given months of 2014, the Federal Reserve has continued its bond-buying program, called "Quantitative Easing 3" (QE3). During April, the Fed purchased $40 billion worth of bonds. Because of QE3, which of the answer choices gives correct po..
I was watching a documentary about a scientist fishing for giant stingray in Thailand. They ran into a fisherman on the river late at night. The fisherman said he was fishing for giant river shrimp (the things were the size of lobsters). The scientis..
An auto-service establishment has estimated its monthly cost function as follows: Where Q is the number of cars it services each months and TC represents its total cost. The firm is targeting 35,000 net monthly profit servicing 2000 cars. What price ..
You are the manager of a 24-hour copy shop that is closed on Sundays. You lease a building for $2,000 per month and hire three employees who each work eight-hour shifts at a wage of $10.00 per hour (each works a total of 40 hours per week). Are there..
In developing countries, as average wage levels rise with the country’s growth it is often observed that: the labor force participation rate of adults rises but. How do labor economists explain these empirical facts?
What is happening to the value of the U.S. dollar these days? What causes the value of the U.S. dollar to rise or fall? Who demands U.S. dollar? Who supplies U.S. dollar? When we purchase German products, does our demand for euro go up or down? What ..
A project’s annual (operating) cash flows for the next five years are $1.2 million, $1.4 million, $1.7 million, $2 million, and $2.5 million. Assuming a discount rate of 15% and a terminal growth rate of 4%, answer the following questions. a. What is..
In 2009, the United States imposed a tariff of 35% on radial car tire imports from China. The tariff caused imports of these tires to drop from 13 million tires to less than 6 million tires in one quarter, and the average price of these tires to incr..
Acme Steel Co. produces 1000 tons of steel. Steel sells for $30 per ton. Acme pays wages of $10,000. Acme buys $15,000 worth of coal, which is needed to produce the steel. Acme pays $2,000 in taxes. What is Acme's contribution to GDP? What are Acme's..
In equilibrium, with diminishing marginal products, the slope of the PPF is equal to:
Suppose we refused to sell goods to any country that reduced or halted its exports to us. Who would benefit and who would lose from such retaliation. What could you suggest alternative ways to ensure import supplies.
In the formula for Bayes theorem if the w-probability is greater than the zero than the a-probably is less than the b-probability. With only one seller in a posted offer market prices will tend to move upward toward the monopoly price. Posted offer m..
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