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One councilman responds by proposing a tax per unit of pollution that is discharged into the river.
Suppose that each firm in the industry minimizes the cost of producing a given level of output.
1. How would such a tax affect the relative wage rate? Explain.
Throughout the 1990s, the amount of foreign direct investment directed at both developed and developing nations increased dramatically. This trend reflects,An international U.S. based company sets up a production unit in a developing country with ..
Describe how a change in investment can have big impact on GDP causing a nationwide slump. Recall that investment is "small" relative to the entire economy.
The number of repairs manufactured through a computer repair shop depends on the number of employees as follows:
How Indonesia has adjusted to the period of a G-Zero World (i.e., instability and public spending cuts) and the Beijing Consensus; how developed is the country in regard to the concepts of competitive advantage of nations
Show that if interest rates rise to 10 percent within the next year and your investment horizon is four years from today, you will still earn a 9 percent yield on your investment.
How can the market "fail" If indeed it can, outline the ways the government can either reduce or eliminate such possibilities. Then why are some politicians or heads of government want almost all public needs met through the market mechanism
Suppose that a chair manufacturer is producing in the short run (with its existing plant and equipment). The manufacturer has observed the following levels of production corresponding to different numbers of workers:
Discuss the implication on earnings and cash flow, and articulate why this project was chosen over the multitude of options that exists.
Why do you think this strategy became less viable in the 1990s What strategy does P&G appear to be moving toward What are the benefits of this strategy What are the potential risks associated with it
George owns 1,000 shares of ABC common stock and 3,000 shares of Brightstar mutual fund. George elects to participate in Brightstar's dividend reinvestment plan, reinvesting his annual dividends and capital gains distributions
Suppose Panama produces only two goods, bananas and hats. If Panama has a comparative advantage in bananas, a move toward free trade will, a. harm hat workers, benefit banana workers, but benefit the nation as a whole. b. harm hat workers, harm bana..
Based on the Law of One Price, what is the equilibrium nominal exchange rate between the U.S. dollar and the euro? What is the equilibrium real exchange rate between the U.S. and Europe.Describe how an arbitrageur could profit from this situation.
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