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Problem
1. There was sluggishness in the Japanese economy in the 1990s, and Japan's terms of trade improved at the same time. Can you interpret and analyze this experience in the context of what you have studied in this chapter? Explain.
2. Explain how the production-possibilities frontier of the unified Germany might differ from the PPF of the former Federal Republic of Germany (West Germany), keeping in mind that West Germany, in the two-factor context, was generally considered relatively capital abundant and the German Democratic Republic (East Germany) was generally considered relatively labor abundant. What would theory suggest about the differences in relative output of capital intensive goods and labor-intensive goods of the former West Germany compared with the unified Germany? What would theory suggest, if anything, about the trade pattern of the new Germany compared with that of the former West Germany if it is assumed that the former West Germany was capital abundant relative to its trading partners?
The purchase costs of cargo ships are estimated to be $800 per ton. If the shipping company uses MARR of 6%, what is the ship's lifetime worth?
Suppose the Fed purchases $250 million worth of securities from banks. If the currency/deposit ratio is 0.6 and The Fed requires banks to hold 12% of their deposits in reserves, how much money will be created through The Fed’s action if banks hold 2%..
A supervisor would have to be hired and paid a salary of $30,000 to oversee production of the casings. The rent charge is based on the space utilized.
Explain what happens to price and quantity of milk when the following events occur (you do not need to analyze the event itself but rather determine the effect of the event on supply and demand of milk):
In recent years, both the personal exemption and child tax credit have been increased in the United States. According to the basic principles of economics, how will the birthrate be affected by policies that reduce the taxes imposed on those with chi..
the following table presents data on three leading indicators for a three-month period.nbsp construct the diffusion
Use the mid-point formula to calculate the price elasticity of supply (arc elasticity) for a given product under two scenarios: When the price of a good is $100, 25 units are supplied. But when the price increases to $125, 30 units are supplied.
bridget has a limited income and consumes only wine and cheese her current consumption choice is four bottles of wine
Write a critique paper about the article "Unexpected Consequences of Raising the Minimum Wage Second Draft" By Dylan Chatterjee.
Assume individuals consider only the short-run effects of changes in future macro variables when forming expectations of future output and future interest rates. Suppose individuals expect future government spending to increase.
Why are some of the thoughts and actions of the above noted economists classified as classical, keyesian or monetarist
The inculcation of these values would ensure the survival of the Republic and the stability of the social order. Mid-nineteenth-century public schools and private colleges were expected to furnish the mind, strengthen the moral character, and prep..
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