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Question 1:
(a) Clearly distinguish between the theories of Absolute and Comparative advantage of trade.
(b) According to you, can the ‘Factor Endowment Theory' be a reasonable explanation of the pattern of world trade nowadays?
Question 2:
(a) Explain, with the use of diagrams, the difference between a tariff and a quota.
(b) Over the recent years, subsidies and domestic support in agricultural trade has become a significant issue in international trade negotiations. Discuss how subsidies in agricultural trade is trade distorting.
Equation (1) gives a hypothetical demand curve for hybrid vehicles in the United States during the year 2000, where Q is the quantity demanded and P is the price. Equation (2) giv
what microevrionmental factors have affected Sony''s performance since 2000
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What are factor endowment implications? Implications of factor endowment: • Less Developed Countries to specialise and export labour intensive goods, agriculture or commodit
Assume that Deborah Electronics expects a delivery of Fujitsu laptops in a month from a Japanese supplier. Each laptop sells at $1000 in the retail market whereas the import cost i
For the special case when firms are price takers, what is the relation between total revenue, average revenue, marginal revenue and price?
A sample of 58 mutual funds was taken and the mean return in the sample was 14% with a standard deviation of 9.3%. The return on a particular index of stocks (against which the mut
What is Frugal Economy
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What is Baumol''s Sales Revenue
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