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Two U.S. senators made the following argument against allowing free trade: "Fewer and fewer Americans support our government's trade policy. They see a shrinking middle class, lost jobs and exploding trade deficits. Yet supporters of free trade continue to push for more of the same - more job-killing trade agreements." Do you agree with these senators that reducing barriers to trade reduces the number of jobs available to workers in the United States?
Assume an individual purchases 500 units of good and spends 10,000 dollars.
A marketplace has only two sellers. Both are trying to decide on a pricing strategy.
Lawn mowing services are supplied by a host of individuals in the suburb of Westbrook. Demand and supply conditions in the perfectly competitive domestic for lawn mowing services are:
What is autarky price and quantity equilibrium for both home and foreign? What is the open trade price and volume under free trade.
In Bayonne, New Jersey, there is a large beauty salon and a number of smaller ones. The total demand function for hair styling per day is Q=180-10P, where P is in dollars.
What is the optimal level of production of wine decanters? Verify that this level of output maximizes not minimizes profit
We now incur shocks as provided in red font. Solve for a new expression of the consumption function and aggregate expenditure curve, solve for the new equilibrium output and add this new equilibrium point to both of your diagrams (label as point B..
Describe two types of specialization in production. What are the economic advantages of specialization and what are political business cycles, and how could they be created?
Explain how does the money multiplier differ when currency holdings are zero, compared to when currency holdings are greater than zero.
Explain how might knowing this affect you as the manager of a large firm.
Explain how would you estimate additional dollar cost of adding sales people? How is the expected net revenue generated by adding.
You do not like this as it will be possible for the large money center banks in Washington, Las Vegas to open branches in your banks geographic market area.
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