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Country A currently imports solar panels at $30,000 each. The government is using only 10 percent of the program as domestic content, exporting clean energy to neighboring countries. Country B imports solar panels also at $25,000 each, but uses 70 percent of the program as domestic content. If both countries produced solar panels home, the costs would have reached $25,000 for country A and $20,000 for country B, but there would have been an initial shakedown period during which solar panels would cost $35,000 for country A to produce and $40,000 for country B to produce. a. Suppose each country must go through a shakedown period of high costs on its own, before accessing any financial support from abroad. Under what circumstances would the existence of the initial high costs justify infant industry protection? b. Now suppose that both countries bring infant industry argument for protecting this industry. Explain which country will be successful in preserving this argument and why.
The consumer price index, producer price index, and the unemployment rate are great indicators as to whether or not our economy is facing a major change. Do you think our economy is facing a rise or fall in the next couple years
How is the unemployment Rate measured? Does it leave anything out? Do you think it is a good measure of unemployment?
Was there too much focus on the macro climate and not enough on the micro climate? Do you concur more with Krugman or Giraud?
write a paper in which you relate the concepts in this weeks readings to a prior real world experience. the experience
Bellville Electric Company may invest in new power-switching equipment. The net PW of the three possible outcomes are $3430, $5870, and $6210.
Why wouldn't it make sense for an individual earning $5001 hour and working 10 hours a day to spend 3 hours (taken from the 10 hours) to shovel snow from their driveway?
If the price of a mouse pad is $7.00, describe the situation in the market. Explain how market equilibrium is restored. What is the market equilibrium if a fall in the price of a computer changes the quantity demanded of mouse pads by 20 a week at e..
What is 'mixed' in a mixed economy? How will the allocation of resources be affected by technological advances which significantly reduce the cost of producing?
How do servant leaders utilize collaboration and teamwork to build positive relationships? Please cite
A construction company purchased a loader new 4 years ago for $645,344. They put 10% down at the time of purchase and financed the rest at a 6% APR. They made monthly payments on the balance of the loan for 4 years.
In mid-2002, real growth fell from 5% in the first quarter to 1% in the second quarter, and the unemployment rate continued to rise.
Analyze the trade-offs between inputs for the productivity improvements. Describe a product or service of a specific low-labor-cost country as an example.
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