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Question 1:
i) What is meant by Cost and Benefit Analysis? Illustrate your answer with the use of empirical and hypothetical examples.
ii) What are the benefits of conducting a Cost and Benefit Analysis?
iii) Suppose the government wants to build a hospital. What are the problems that it may encounter while performing a Cost and Benefit Analysis?
Question 2:
i) Briefly explain the key macroeconomic aims of a government in a mixed economy.
ii) Consider the difficulties facing a government to achieve these aims simultaneously.
Explain the meaning of - Purchase consideration The type of offer made to target company's shareholders would have a big impact on acceptance. Apparently the price
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Discuss the criteria for a ‘good’ international monetary system. Answer: A good international monetary system must offer (i) sufficient liquidity to the world economy, (ii)
Discuss the risk associated with Foreign Direct Investment. How do these risks differ from those encountered in domestic investment.
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