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Consider the Heckscher-Ohlin-Samuelson model for the US producing 2 goods (digital cameras and baskets) using 2 factors (capital and labor). Let the production of digital cameras be relatively capital-intensive. If foreign owners of domestic capital decide to decrease their investment in the US, how would that affect the output in each industry?
There is a consumer who has a utility function from income U1(W) = W3/4. This person gets her income from the following uncertain situation: There is a 80% chance they have an income of $256 and a 20% chance of getting $81. There is a different ..
Behavioral economists find that people typically follow simplified decision rules rather than engage in the complex calculations imputed.
Give at least three explanations of why economic reasoning would argue that this is to be expected.
1. The annual demand for an item is 10,000 units, each order costs $120 and the annual holding cost is 35 percent of unit cost. The unit cost depends on the quality ordered as follows:
Explain is contracting a government service out to some private firm the best way. Does it make economic sense to contract out some government services.
Research a case that has been in the news in the last few years where a major security breach occurred on a wireless network. Find a case where attackers got in via the wireless network, but then penetrated farther into the network, resulting in s..
What is the present worth of the following income strings at an interest rate of 12%? (All cash flows occur at year end.)
What are the highest and lowest payments from the writer that the beekeeper- farmer team will accept for the sixth day?
Why is an exporter that is to be paid in six months in a foreign currency worried about fluctuating foreign exchange rates?
How do barriers to entry create market power? Why does the government grant patents to companies that research new drugs? Why does entry into markets decrease firm profits and what is "monopolistic" about monopolistic competition?
For the same two countries, Thailand and Malaysia. collect the most recent data on HDI and GINI Coefficients and critically analyze if you see any connections between them in terms of economic development.
Draw a standard supply and demand diagram for widgets, and indicate the equilibrium price and output.
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