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1. The inflation over four consecutive quarter is f1=1%, f2=0.5%, f3=-0.5%, f4=1%. What is the inflation for the entire year?
2. Why the Is curve can be shifted by the change in government spending or taxation but not by the change in investment?
3. What is the real money (M/P) in the LM curve ? Why the denominator is price? How is it different from M in the money demand and money supply graph?
4. Why do nations trade? Analyze American imports and exports.
An increase in the number of varieties of a good regarded as a gain from trade. Can you think of economic disadvantages associated with greater product variety.
Assume the U.S. is a SMALL OPEN economy and the European Union is a LARGE OPEN economy. In addition, suppose the EU cuts tax rates and increases infrastructure spending. Assume the U.S. is a small open economy and has balanced trade. Suppose Congress..
An option holder is not entitled to receive dividends unless he or she exercises their option before the stock goes ex dividend.
Does the factor proportions theory shed any light on Mexican migration to the Unites States? How does it account for US direct investment in Canada?
Most large airlines operate networks, hub-and-spoke systems, which connect many spoke cities (or nodes) with flights to and from a hub airport. How can a network airline profitably serve smaller cities than a low-cost-airline?
Assume the market for ceiling fans is perfectly competitive and is currently in equilibrium.
A manufacturing company invests $100,000 in a new piece of equipment. Operating expenses for this new piece of equipment is estimated to be $4,000 starting EOY1 and increasing by $200 per year at the EOY2 and for the next 9 additional years. What is ..
The quantity demanded of lobsters is 0,1,2,3,4,5, and 6. The derived total utility is 0, 15, 23, 25, 25, 22, and 12. Find: What is the marginal net utility (consumer surplus) when the market price is $ 4.00 a lb. Complete the table of the demand sche..
John has a factory that produces paper and as a side product some chemicals are thrown into the water: one unit of the pollutant per unit of paper. The marginal benefit to John of producing paper is given by MB = 10 - Q. The marginal cost is given by..
Smart Phone Market The smart phone market has been dominated by Apple, but recently the Droid has been able to leverage Google’s information services into market gains while Blackberry, known for its secure business oriented network, has attempted to..
Specialization and Exchange. Please select one item that you can see from where you are sitting right now – and list and describe as many people as you can think of that played a role in getting that item to where it is right now. (One Limit Only: yo..
Description of how globalization should have improved/not improved the situation in a country such as Malawi including. Characteristics of Globalization for a country such as Malawi. For each characteristic in i), the changes that should occur for Ma..
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