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If french workers can produce 6 cars per day or 10 pounds of cheese and united states workers can produce 4 cars per day or 4 pounds of cheese who should produce what and why? this is a absolute and comparative advantage kind of question
The Hull Petroleum Company and Inverted V are retail gasoline franchises that compete in a local market to sell gasoline to consumers. Hull and Inverted V are located across the street from one another and can observe the prices posted
Evalute the probability that the company A defaults during the next year assuming that the CDS is priced in a way that makes the expected profit from selling the CDS as zero, and assuming that default probabilities do not vary during the 5 years.
Many states have usury laws, which place a ceiling on interest rates. Why do most economists dislike these laws - The paper's content is jumbled and is partially in second person and uses unusual wording together as if it was a machine translation..
Goleta Brewing Company hires only two types of labor, managers and brewing assistants (denoted by M and B, respectively). GBC has the following Cobb-Douglas production function F(M,B) = m5 B5 and wants to produce 10 barrels of pale ale this week. How..
A representative of the American clothing industry recently made the following statement: Workers in Asia often work in sweatshop conditions earning only pennies an hour. American workers are more productive and as a result earn higher wages. Is the ..
Suppose the Canadian economy, on a fixed exchange rate, has a real growth rate of 2% and is in equilibrium with an inflation rate of 10% and a risk premium of 1%. Suppose changes in the U.S. cause its real rate of interest to increase from 3% to 4% a..
Suppose an environmental regulation requires all polluters to reduce emissions by 50%, even though the cost of pollution control differs widely from one polluter to another. Why might this be inefficient, using the definition of efficiency developed ..
Compute the effect of a $24 billion federal income tax cut when the population's marginal propensity to consume is 96%.
Explain the two approaches that can be used to compute GDP. Why do these two approaches lead to the same value for GDP? Explain why real GDP is a more reliable estimate of economic growth than nominal GDP.
Refer to the above graphs. Which graph depicts a situation where sellers are increasing their output because their product is becoming more popular among buyers?
Calculate the present worth of the following geometric gradient series cash flow: Annual interest Rate =8.89 %, Annual cash flow increases 29% each year, The first year value is $52 and the series is 8 yrs long starting at EOY 1.
Mar ´ia lives in the beautiful country of Inflationlandia. She earns 30 million pesos a month. She only consumes hamburgers and buns. The price of a dozen hamburgers is 2 million pesos and the price of a dozen buns is 1 million pesos. Graph her budge..
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