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The country of Leverett is a small open economy. Suddenly, a change in world fashions makes exports of Leverett unpopular.
a. What happens to saving, investment, net exports, the interest rate, and the exchange rate?b. The citizens of Leverett like to travel abroad. How will this change in the exchange rate affect them?c. The fiscal policy makers of Leverett want to adjust taxes to maintain the exchange rate at its previous level. What should they do? If they do this, what are the overall effects on saving, investment, net exports, and the interest rate?
The Microsoft trial has been only one of the biggest investigations of antitrust behavior as the turn of the century.
Explain how the invisible hand fights back when government try to overrule market forces with price controls.
The US cigarette industry has negotiated with Congress and government agencies to settle liability claims against it. Under the proposed settlement.
Between problems that hinder growth in developing economies are poor infrastructure, lack of financial institutions and a sound of money supply, a low saving rate, poor capital base, and a lack of foreign exchange.
A software maker has fixed costs of $18,000 a month and her Total Variable Costs as a function of output Q are listed below;
Could you offer your opinion, no citations, from two different perspectives on the internet trends.
Illustrate what would happen if the government intervened and lowered the maximum price that could be charged for this service or good. How would this change the output and price.
Consider the following two good pure exchange economy: Alfred's utility function is U A (x, y) = min{x, y} and Bob's utility function is U B (x, y) = max{x, y}.
Given the following information, compute the real interest rate for years 2, 3, and 4. Suppose that each CPI number tells us the piece level at the end of each year.
Seven goblins are deciding how to split 100 galleons. The goblins are named Alguff, Bogrod, Eargit, Griphook, Knadug, Ragnuk, and Uric, and they've been rank-ordered in terms of magical power, with Alguff the weakest and Uric the strongest.
For each of the following concepts provide a definition, a complete explanation as to their significance, and a practical example.
Compute the four-firm concentration ratio (C4) before the merger. Show your work and round your answer to 4 decimal places.
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