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What are the assumptions of dependency theory?
The assumptions of dependency theory:
Dependency theory extends Marx is theory of surplus value to international relationships. For Marx, labour is the simply source of economic value. The capitalist pays his employees less than the value their labour has added to the good, maintenance the surplus into the form profit and interest.
This is equally true that DCs exploit LDCs (less developed countries) by extracting their surplus value. Each surplus value becomes the dissimilarity among the values of what an LDC produces and what this paid to produce that by a DC.
Free transnational and trade foreign direct investment distorts the whole economics and social structure of Less Developed Countries (LDCs) that become geared to meeting the requirements of DCs for example: export and orientated industries.
What are factor endowment implications? Implications of factor endowment: • Less Developed Countries to specialise and export labour intensive goods, agriculture or commodit
What is poverty? Poverty is a complicated multidimensional model measured by using a range of indicators. It is about disparities into the distribution of power, opportunity a
In your own words, describe the meaning of average cost. You normally buy a crate of wine for $75. One crate has 6 bottles of wine. After a month, the store clerk informs you that
Are international capital flows a problem? Problem: Capital flows can have an adverse outcome onto: a. Balance of payments (BoP): Shortly term capital inflows can be like:
Report the average and standard deviation of monthly return for your corporation and the S&P 500 on the spreadsheet. Use the spreadsheet functions to calculate these: =AVERAGE(dat
Calculate the "weights" for the long-term financing sources: Total Stockholder Equity, Long Term Debt, and Preferred Stock (if there is any of this). Do this in two ways: (a
Currency Option Combinations A currency option combination uses simultaneous call and put option positions to construct a unique position to suit the hedger's or speculator's n
Aska) Explain why each of the following factors may influence the own price elasticity of demand for a commodity. (i) Consumer preferences, that is, whether consumers regard the c
Consider the economy (above) again where the following set of stocks is traded: x 1 =(2,2,0) x 2 =(1,0,3) x 3 =(0,2,4) for the prices (p 1 , p 2 , p 3 )=(1, 1, 1).
What are Harrod-Domar assumptions? The H-D (Harrod-Domar) model assumes as: • Fixed capital output ratio. Nonetheless, diminishing marginal returns to capital element exist
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