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Examine the impact on a small country following an outward flow of immigrants that decreases its labor force. Assume that land is specific to agriculture and capital is specific to manufacturing, while labor is free to move between the two sectors. Assume that there is no international trade, and that the prices of the manufactured and agricultural goods do not change.
Determine whether each statement is true or false, then briefly explain why.
1. The marginal product of capital increases for the manufacturing industry.
2. The capital owners become worse off.
3. The land owners become better off.
1. What is disintermediation? Give an example. 2. What is an infomediary? Give an example. 3. How does the value of distribution channel functions change when they become Internet based? 4 Is it better to regulate industry via laws or let industry se..
Mary's indifference map and budget constraint for goods x and y are shown below. If Mary spends all her money on x and y which bundle will she choose to maximize her utility?
Define the four basic types of trade barriers. Who gains and who loses from a protective tariff? Explain. Identify the four major tools of monetary policy. Describe how a change in the Fed’s major policy tools leads to [1] expansionary and [2] restri..
Find out the net demand curve facing firm A. Describe A's optimal price and output. Explain how much output do the other firms supply in total.
Conduct a thorough analysis of both the classical economic model and the Keynesian economic model. Describe the impact on the aggregate demand and supply curves, along with the impact on inflation and unemployment.
Why would the government bypass the free market in times of war? Is government rationing a better idea than rationing by price? Give reasons. How does government rationing affect the allocation of resources? Explain.
Further you know that there is a 35% chance for a strong economy and a 50% chance for average growth. What is the expected return on this investment?
Suppose the income elasticity of demand for toys is +2.0. This means that: If the income elasticity of demand for margarine is -5.00, this means that:
what would volume of output would the two alternative yield the same profit 3-if expected annual demand is 12000 units which alternative would tield the higher profit.
Discuss how both the fiscal and monetary policies in the United States and in the Bible relate to the model of aggregate demand and aggregate supply and the issues involved in implementing the policies.
Economies around the world are becoming increasingly globalized. How does this globalization affect the choices you face in your economic decisions? Do the effects change if you think of yourself as a consumer or as a producer? Discuss whether consum..
information effect the calculation of the inflation rate If so, Elucidate how. Does McDonald earn an accounting profit? Does he earn economic profit
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