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Q. Why do we observe the Leontief paradox?
Answer: There are several possible answers that they may be categorized into three groups. One would argue that the theory or model is wrong. The other would dispute that the theory is correct (internally consistent and descriptive of real world data) however the real world data is incorrectly defined perceived, or measured. The third would dispute that the statement itself is wrong, and that in reality the Leontieff paradox itself isn't actually observed, but somewhat is due to faulty logical rendering of the original model.
roles of international trade in economic growth of the country
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1. International trade: (a) Explain the concept of comparative advantage between two countries (use a numerical example to illustrate, and do not use the identical example in th
Discuss the effects of ongoing inflation based on the PPP theory. Answer: Other things equivalent money supply growth at a constant rate eventually results in ongoing price le
what are the theories supporting protectionism
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How do countries gain under the increasing cost assumptions
Q. Write an essay on the importance of a sound banking system in developing countries. Answer: Students must describe the phenomena of moral hazard as a part of their answer,
Q. Using a figure describing both the U.S. money market and the foreign exchange market, analyze the effects of an increase in the U.S. money supply on the dollar/euro exchange rat
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