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Discuss how opportunity costs relate to Japan's cleanup efforts after the devastating earthquake/tsunami of March 2011. Begin the discussion by defining "opportunity costs." Then make a list of actions the Japanese government must accomplish to restore the economy and provide health and safety to the citizens. Keep in mind the limited resources available and priorities of each restorative action. What are the opportunity costs of each action?
Assume that under the Bretton Woods system, dollar is pegged to gold at a rate of $35 a ounce and pound sterling is pegged to the dollar at a rate of $2 = £1.
What happens to the DAD and DAS curves in period t+1? What happens to output, inflation, and nominal and real interest rates in that period? Explain.
Why would you expect the inflation rate to accelerate if the actual unemployment rate declined to a level lower than the "full employment" unemployment rate (NAIRU)? Explain your answer in a few sentences. What state of business cycles (such as re..
Calculate and Plot using a spreadsheet (like Ms Excel) the series for Nominal GDP
Suppose that economic growth is slower in the U.S. than in its trading partners. Given a system of floating exchange rates, will the impact of this growth differential be for US with respect to exports and the value of the dollar?
In the Ricardian model, everyone seems to profite from trade. However, the Heckscher-Ohlin model seems to show that some lose from trade as well.
Dumaine Equipment Corporation closes its books regularly on December 31, but at the end of 2007 it held its cash book open so that a favorable balance sheet could be created for credit purposes.
How much is the constant amount "x" and how much is the 48th payment and the dealer has offered you a 5-year maintenance contract for $800 per year payable at the end of each year.
The U. S. has committed itself to creating a free trade zone between the U.S., Canada and Mexico. Why might this be important Relative to imports and exports to other nations, what is the size of these two North American trading partners trade rel..
The people managing the bridge consortium say they always expected a dip in car traffic from a summer peak of 20,000 vehicles a day. But they admit that the current daily flow of 6,000 vehicles or so must increase if the bridge is to pay its way i..
Suppose the U.S. government imposes a quota of 16 million units on its imports of semiconductors. Calculatethe magnitude of the deadweight loss resulting from the quota under the assumption that the U.S. is a small open economy.
Investment A has an expected value of five and a standard deviation of two. Investment B has an expected price of 10 and a standard deviation of five.
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