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Consider two fictional economies, one called the domestic country and the other called the foreign country. Given the transactions listed below, construct a balance of payments account for each county. Include a statistical discrepancy.
The domestic country purchased $100 in oil from the foreign country.
Foreign tourists spent $25 on domestic ski slopes
Foreign investors were paid $15 in dividends from their holdings of domestic equities.
Domestic residents gave $25 to foreign charities.
Domestic businesses borrowed $65 from foreign banks.
Foreign investors purchased $15 of domestic government bonds.
Domestic investors sold $50 of their holdings of foreign government bonds.
If deposits of $5,000 are to be made semi annually for ten years in an account earning 8% compounded continuously what lump sum would have accrued 15 years from now? Show all your work
Changes in factors other than the price of a healthcare product will: options: A) Shift the entire demand curve. B) Shift the entire supply curve. C) Shift half of the demand curve. D) Shift half of the supply curve.
Consider an economy in a steady state with population growth rate n, a rate of capital depreciation Delta, and a rate of technological progress g(growth rate of y* in steady state). At the steady state change in k tilda = 0, where k tilda equals capi..
Explain the concept of Pareto Improvements and give examples from purchases you made during the last Christmas/Holiday season. Explain the term Deadweight Loss and cite an example of a market situation that would create such a loss.
Compare the marginal benefits and the marginal costs associated with your purchasing decision. Explain how the strength of the economy as a whole affected the marginal benefits and the marginal costs associated with that decision.
Which of the following changes in taxes would lead to the greatest increase in consumption?
Base states that it is not just technology that changes so quickly, but also the impacts which they have upon society. Do you agree? How does that align with the assertion in the lecture that we are now living in a third great technological transform..
The wage paid by a firm buying labor in a perfectly competitive market: The wage paid by a firm buying labor in a perfectly competitive market:
Referring to the concept of entry barrier and explain dunning ideas on strength of multinational enterprise. How would an enterprise take advantage of different levels of innovation? (i.e., of major innovation vs minor innovation.
You are offered a choice between $5000 today or $10,000 in 5 years. If you choose the $10,000 in 5 years, this implies that
Recall that the Law of Demand states that demand curves are always downward-sloping. That is, people want to buy more of some good when its price is lower. Why is a firm’s short-run demand for labor downward-sloping?
Calculate and interpret the own price, cross price, and income elasticity of demand.
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