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Assume that a "leader country" has real GDP per capita of $40,000, whereas a "follower country" has real GDP per capita of $20,000. Next suppose that the growth of real GDP per capita falls to zero percent in the leader country and rises to 2 percent in the follower country. If these rates continue for long periods of time, how many years will it take for the follower country to catch up to the living standard of the leader country?
Discuss the comparative advantage(s) of your selected regional trading blocs. Identify the major risks associated with doing business in the selected trading blocs.
- perfume: A $100 bottle of perfume may contain $4 to $6 worth of ingredients - Jeans and "alligator/animal" shirts: The "plain pocket" jeans and the Lacoste knockoffs often cost 40 percent less than the brand-name items, yet the knockoffs are ess..
Illustrate what is the current expected price of the stock. What is the expected price of the stock at Year 6.
Elucidate how tax credit to a business would help to stimulate the economy.
What happens when there is a surplus of imports brought into the U.S.? Cite a specific example of a product with an import surplus, and the impact that has on the U.S. businesses and consumers involved.
Explain the three types of unemployment and what types of government programs would be most effective in combating each type of unemployment?
Explain why marginal product first rises, then declines, and ultimately becomes negative. What bearing does the law of diminishing returns have on short-run costs? Be specific.
Illustrate recommendations would you make to Congress and the President for the management of fiscal policy.
In the context of the IS-LM model, what is the effect of each of the following on equilibrium output and the real interest rate? Explain why these effects occur and show graphically.
Now assume that these outputs comprise all of GDP. Keeping 1992 as the base year, Elucidate the GDP deflator for 1993.
Two identical countries, Alpha and Beta, can be described by the IS-LM model in the short run. The governments of both countries cut taxes by the same amount. The Central Bank of Alpha follows a policy of holding a constant money supply. The Centr..
Construct a production possibilities curve for a hypothetical country. Put public capital goods per year on the bertical axis and consumer goods per year on the horizontal axis.
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