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Give two examples of economic issues that are primarily microeconomic and two examples that are primarily macroeconomic. What is the general difference between microeconomics and macroeconomics?
Elaborate on how MNCs as driver to world trade; try to relate with some trade theories; bring in FDI, vertical integration and others to relate with Global Value Chains created by MNCs
Find and expression for capital per worker at the steady state e. Solve for the steady-state output per worker when d = 0.08 and the savings rate = 0.25 f. plot the steady state capital per worker as the savings rate goes from 0.05 to 0.50 in 0.05 in..
The marginal cost function of all the small salons together is SMCF = 4 + .1Q, and the marginal cost function of the dominant or leading salon is MCL = 7 + .1Q. (c) If the large salon forms a centralized cartel. what would be the best level of out..
Imagine that Congress is considering a bill to reduce the current twenty-year life of most patents to eight years. What negative effects might this change have on the rate of innovation? What positive effect might it have for the economy?
Suppose advancing technology (e.g., the miniaturization of electronic circuits) increases the productivity of the 90-laborer workforce by 20 percent. Draw a third production possibilities curve (PT) to illustrate this change.12
Suppose the interest rate on British and US bonds is the same (5 percent) and the expected future exchange rate (dollars per pound) is $1.52 per pound. Now the interest rate on British bonds suddenly rises to 10 percent.
In what ways does our trade model require further extension?
Making dresses is a labor-intensive process. Indeed, theproduction function of a dressmaking firm is well described by theequation Q = L - L2/800, where Q denotes the number ofdresses per week and L is the number of labor hours per week.
Why might a profit-maximizing firm offer such a large raise?
Calculate the marginal revenue product for each additional unit of labor if output sells for $3 per unit b. Draw the demand curve for labor based on the above data and the $3-per-unit product price c. If the wage rate is $15 per hour, how much labor ..
The table below shows the total production of a firm as the quantity of labor employed increases. The quantities of all other resources employed are constant. Compute the marginal and average products and enter them in the table.
For the same mass of explosive, what is the ratio of the energy released in a nuclear explosion to that released in a TNT explosion
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