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Supposed that higher income implies higher imports and thus lower net exports. That is the NX = NX (e).
what are the effects in a small open economy of fiscal expansion on income and the trade balance under floating and fixed exchange rates?
You are the manager of specific location sales for a national company that provides, among other things, cable television service.
Solve for the equilibrium price and quantity. Assume the price is expressed in dollars and the quantity is defined in 1,000's of units.
Amaranda and Bartolo consume only two goods, X and Y. They can trade only with each other and there is no production. The total endowment of good X equals the total endowment of good Y. Amaranda's utility function is U(xA, yA) = max{xA, yA}
Explain why does the government support public education when the private sector also provides this service.
Consider that an entrant's ability to enter a market is fought, with the possibility of withdrawing from the industry (at a loss of 1 for the entrant and a gain of 8 for the incumbent), or staying (at a loss of 5 for each player).
Discuss how labor market mobility affects the unemployment rate.
Construct a graph showing the outputs, and prices before and after the corrective taxes were imposed.
Illustrtae what does this imply about the effectiveness of monetary and fiscal policy to reduce the unemployment rate.
Explain how will the quantity of aggregate output supplied respond to the fall in prices. What will happen when firms and workers renegotiate their wages.
Which nation has a comparative advantage in clothing and by what amount.
Experiment with the number of steps for binomial tree model until your numerical result stabilizes to within one cent of the result given through the Black-Scholes formula.
What is the profit-maximizing price to charge a Texan for a car wash? What is the profit-maximizing price to charge a Californian for a car wash?
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