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Problem
Suppose two countries are considering a new agricultural trade agreement with each other. Country A has abundant low-skill labor and scarce land. Country B has abundant arable land but little population. In which country do land owners support a trade agreement? In which country do workers support a trade agreement?
Why is that a profit maximizing businessman would always raise prices when facing an inelastic demand curve, but might or might not raise prices when facing an elastic demand curve? explain and justify your answers in detail.
Suppose GDP in 2010 is USD 1.577 trillion and the average annual growth rate is 3%. a. Calculate the GDP in 2025 using both continuous and discrete compounding.b. What is the GDP in 2025 if the average annual growth rate increases to 4.5%?c. What mus..
Suppose you are a junior analyst at a well-known mutual fund corporation and are assigned to value, say, the stock of General Electric.
During the oil crisis in the 1970s, long lines at gas stations disappeared soon after price controls were removed and gas prices were permitted to rise. Should this even be interpreted as evidence that the oil companies have monopoly power Why or ..
Meek mill bought £75,000 (nominal value) of 3¾% debenture stock with each £100 (nominal value) of stock costing £90. (a) Calculate the amount paid for the stock.
The other event is the successful effort in Wisconsin to curb the power of labor unions representing State workers in that State. Similar efforts have been made in other States. In Wisconsin, workers have been forced to give up most rights to barg..
Is the information presented in the book true or reliable? Is there relevant information the author does not present which would lead to a different conclusion?
In the signaling model, assume high school graduates are paid a stream of income whose present value is $200,000. College graduates are paid a stream of income whose present value is X. College education costs higher-productivity wo..
You are running a small yard maintenance business summer. What do you expect to happen to the number of yards you can maintain in a day as you add workers.
How much percent can we expect the price of rental apartments to rise after the law is enforced, if we know that we expect an additional rise in demand for rental apartments which will cause an additional 20 percent rise in the number of apartment..
One important aspect of modern finance that separates it from past eras is the pervasiveness and power of central banks. Central banks play a vital role in ensuring the stability and efficiency of banking systems as well as influencing interest ra..
Describe regarding the best solution for preventing someone from making illegal copies of music files.
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