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In a graph show an example of a Multiple Equilibrium Poverty Trap with one equilibrium at a low-level of well-being and one at a high-level of well-being and an unstable critical threshold around which one will be converge to either the high or low-level equilibrium.
Explain how the United States calculates unemployment and why many economist do not find this as a real economic indicator. How is unemployment calculated in other countries? Give two examples. What are your thoughts and ideas on this?
Describe the prevailing arguments of what constitutes a "just war," and assess the justice of the Vietnam War in that context. Speculate on how the world would be different today if the U.S. had not become involved in Vietnam.
Tom is a mushroom farmer. He invests all his spare cash in additional mushrooms, which grow on otherwise useless land behind his barn. The mushrooms triple in weight during their first year, after which time they are harvested and sold at a constant ..
Should the government increase the minimum wage? What should be the GUIDELINES for an increase? What are some of the disadvantages of an increase?
Suppose the employees of Starbucks in China are paid 8 yuan per hour and a cup of coffee is priced at 8 Yuan. If Starbucks is maximising its profit, What is the value of marginal product of labour (VMPL) per hour of the last worker employed by Starbu..
If the US economy is operating near full employment and the exchange rate increases (the dollar appreciates), explain why the Federal Reserve will be less inclined to raise interest rates
Now suppose as a result of a mandated increase in the minimum wage the wage increases to $80. What would be the implication of this change for this firm?
How does china devalue their own currency? And why would they do that? People say they do it to increase their exports but that will lower the price they receive for their exports so is it really worth it? What the reasoning behind it?
When Total Costs (TC) are known, explain how to calculate the Fixed Costs (FC), Variable Costs (VC), Average Variable Costs (AVC), Average Total Costs (ATC). Average Fixed Costs (AFC) and Marginal Costs (MC).
Write a 2-3 page paper addressing the following: 1. Describe the general characteristics of oligopolies. 2. Describe the economic characteristics unique to the airlines.
Consider an economy in which consumers have identical preference and income. The income is determined randomly and exogenously in each period. Consumers prefer smooth consumption over time. Production does not involve capital so that there is no inve..
Consider the random relocation economy developed in this chapter. Each person receives an endowment of 500 goods when young and nothing when old. People only want to consume when old. Let Mt= 1.1Mt−1for every period t. Write down the contract that a ..
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