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1. What determines the pattern of international trade in the Ricardian model?
2. Using the Ricardian model, explain why American workers receive higher wages in the production of automobiles than Chinese workers.
3. Explain why countries gain from trade in the Ricardian model.
4. What are a country's terms of trade and what do improvements in the terms of trade mean?
5. Why is the production possibilities frontier a straight line in the Ricardian model?
Many states provide firms with an "investment tax credit" that effectively reduces the price of capital. In theory, these credits are designed to stimulate new investment and thus create jobs. Critics have argued that if there are strong factor
The monetized disutility of getting an MBA degree (including the actual cost) is $10,000 for a motivated worker and $20,000 for the unmotivated worker. An employer does not know workers' motivation level.
i. perfect competitiona. fill in the table for the perfectly competitive firm. explain how you arrived at each numberb.
State the commodity in which each country has absolute advantage. Identify the commodity of comparative advantage for each country. Justify your answer Indicate the gains to Zambia and Tanzania if the two countries exchanged 6 barrels of oil for 6 ya..
"Monopolies are very efficient." Do you agree or disagree? Provide justification for our response.
Both Viacom and Paramount owned a diverse group of entertainment business. QVC was a televised shopping channel. The Paramount board of directors accepted a merger offer from Viacom at a price of $69 per share. QVC and Viacom then entered a biddin..
Critique or defend two (2) of Jevons' views on public policy. Substantiate your position with evidence of the success or failure of current public policies favored by William Stanley Jevons.
What is meant when a monopoly firm is described as a price maker? How is a price maker different from a price taker? Is a monopoly ever a price taker?
What is the effect of unemployment insurance on the natural rate of unemployment?
compare and contrast inflation and deflation. what are some of the damaging effects that each has on an economy? what
1. the federal budget deficit has been over 30 percent of gdp since the early 1980s.atruebfalse2. to finance a federal
Analyze the dynamics of supply and demand to anticipate market equilibrium and analyze the elasticity of demand and supply and its importance, and the effect of taxes or other public policies.
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