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Briefly explain whether you agree with the following argument: "Unfortunately, Bolivia does not have a comparative advantage with respect to the United States in the production of any good or service." (Hint: You do not need any specific information about the economies of Bolivia or the United States to be able to answer this question.)
The Shift of American Health Insurance Policies - How the Changes Affect Our Economy, What health program is better financially and morally?
Suppose that the production function for the economy is: Assume that real GDP is $12,000 billion, the capital stock is $40,000 billion, and the labor supply is 200 billion hours.
Suppose that the government raises the minimum wage and in doing so causes real wages to increase throughout the economy. What would be the effect on the micro economy in relation to the quantity demanded of labor and the quantity supplied of lab..
Explain the relationship among the required reserve ratio, the potential deposit expansion multiplier, and deposit expansion multiplier.
analyze the internal environment of the Eaton Corporation to determine that company's strengths and weaknesses. Based on the strengths and weaknesses you discovered, determine what steps the company could take to positively impact the company's co..
Suppose that they are thinking of each specializing completely in the area in which they have a comparative advantage, and then trading at a rate of 2.5 pounds of potatoes for 1 chicken, would they each be better off? Explain.
Import Quotas also voluntary export agreements are often used instead of tariffs. What are the differences.
If consumer incomes rise to $30,000, illustrate what will be the new equilibrium price and the new equilibrium quantity.
The consumer has an income of $24 per week. The price of a hamburger is $2 and the price of a milkshake is $1. How many milkshakes and hamburgers will he buy each week if he maximizes utility? Illustrate your answer on a graph.
According to law of comparative advantage , who should produce wheat and who must produce Cd palyer? Evaluate all relevant opportunity cost.
Consumption is $6 trillion, investiment is $2 trilion and government purchases are 2.5 trillion. The country exports $1 trillion and imports 1.5 trillion. Find the net exports and solve for the level of aggregate demand.
(a) Write down the maximization problem for this individual. (b) Solve the maximization problem and nd current consumption, future consumption and savings (or assets).
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