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What is meant by the Incompatible Trinity? Illustrate your answer with an example of a fixed currency exchange regime and an example of a floating currency exchange regime.
The following sets of statements contain common errors. Elucidate and identify each error.
In the U.S. health expenditures on drugs amount to about 10% of total health expenditures. In Japan, where physicians are legally permitted to sell pharmaceuticals, national expenditures on drugs are almost double the level in the U.S. Discuss how th..
Find a real world example of a game-theoretic situation, in which one “player” gains by making a strategic move. Briefly describe the situation. Is the strategic move a commitment, a promise, or a threat? What does the player do to make her/his strat..
There are two types of genetic drift. Describe and give an example of both the bottle neck effect and the founder effect.
The cost to remove the old machine is $2000. Which are the relevant costs for the old machine?
Look at the JAL FX loss scenario in the Additional Text Readings where JAL lost as much or more in FX than the $800 million value of the planes it was purchasing. Then calculate JAL’s cost if it had used a different type of hedge, borrowing US $ to b..
Suppose that a manufacturing firm in New Jersey, we found that Average variable cost = $10. If the firm's pricing strategy is to add a 25% m on cost, what price should ark up, what price should the company charge?
In a game with eight players, each player has x > 10 coins. Each player also chooses the number of coins to contribute to a 'common fund'. The remaining coins are deposited into a 'bank'. Formulate this as a simultaneous-move game, and find the total..
Many companies already have a host of applications running on their local networks. Trying to take advantage presented in cloud computing
Suppose a perfectly competitive industry whose demand and supply are characterized by the following demand and supply functions: Qd = 180 − 2P and Qs = 10P. How many units will the representative firm produce? Taking this quantity as the average per ..
Determine the time required to produce the 2000th item if the first item requires 180 minutes to produce and the learning-curve percentage is 92%.
Government policy has typically been driven by political ideology. Radical writers argue that the MNE is an instrument of imperialist domination, but the free market view argues that international production should be distributed among countries acco..
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