Reference no: EM1375267
Question 1:
You are a producing firms of brooms and mops. In order to cut cost, you are considering about shifting production of some of item to Mexico. Additional information is provided below. (Suppose no quality differences, zero transportation costs, etc)
Products produced/ unit of labor
Brooms Mops
Mexico 3 OR 3
U.S. 6 OR 6
1. Suppose that your company already owns facilities in the US as well as in Mexico. Would you move all production to Mexico? Is so, why? If not, would you move one product to Mexico? If so which one and why?
2. What are the opportunity costs of producing each of these goods in each country?
Additional information for question 3 and 4:
Assume that labor costs in Mexico are 100 peso per hour compared to $9 in the US. The current exchange rate is 20 peso/ $1.
3. Now, include the wage rates in your analysis. If you recommend moving any production to Mexico, explain your position. if you recommend not moving any production to Mexico, justify your position by determining:
i. The wage rate at which it would be optimal to move some production to Mexico
ii. The wage level at which it would be optimal to move all production to Mexico
4. What are the limits to the exchange rate at which it makes sense to produce in both countries?
|
Illustrate what percentage of american families
: illustrate what percentage of American families will live in an urban area. Illustrate what problems might occur if this model were used to predict the future population distribution of the United States.
|
|
Computing absolute advantage
: Still remaining within the Ricardian framework, Suppose that the Canada has one hundred units of labor available for production while Mexico has two hundred units of labor and both nations produce corn and wheat.
|
|
Explain how much power relative to this decision
: Explain how much power relative to this decision did Mary, Jack also the president of Standard Software possess also illustrate what type of power was it.
|
|
Explain how would carlyle define its business strategy
: Explain how would Carlyle define its business strategy. Illustrate what present conditions in Carlyle's external environment favour its success. Illustrate what are the keys to Carlyle's future strategic success given its impressive also stiffer comp..
|
|
Computing the opportunity costs
: You are a producing firms of brooms and mops. In order to cut cost, you are considering about shifting production of some of item to Mexico.
|
|
Productive efficiency
: Suppose that the United States can manufacture Toyotas at the cost of $18,000 per car and Chevrolets at $16,000 per car. In Japan, Toyotas can be manufactured at 1,000,000 yen and Chevrolets at 500,000 yen.
|
|
Compute the upper also lower standard control limits
: the Chair sampled 500 final grades from last yr for each instructor also computed the number of failures per instructor as 13, 11, and 0 also 16 respectively. Compute the upper also lower standard control limits for this chart.
|
|
Compute the probability of four or more students
: Compute the probability of four or more students being in line or being served. Before a test the arrival of students increases to six per hour on the average. Illustrate what does this do to the average length of the line.
|
|
What can you do to overcome some of these limitations
: Make sure to examine the threats which you feel are present in the study which you designed. As a researcher, illustrate what can you do to overcome some of these limitations.
|