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Explain briefly whether each of the following would be more likely to lead to a higher level of trade for an economy, or a greater imbalance of trade for an economy:
Living in an especially large country
Having a domestic investment rate much higher than the domestic savings rate
Having many other large economies geographically nearby
Having an especially large budget deficit
Countries with a tradition of strong protectionist legislation shutting out imports
Draw a graph that illustrates the demand and supply of a perfectly competitive industry. the producer surplus if the industry is a monopoly that engages in perfect price discrimination. Does a deadweight loss exist if the industry is a monopoly that ..
A firm has estimated that the demand for its product comes from two types of customers, type I and type II. Each type I customer -there are 30 of them- has a demand curve given by Q = 20 - P, while each type II customer -there are 50 of them- has a d..
The GDP deflator is better than the CPI at reflecting the goods and services bought by consumers. The CPI is better than the GDP deflator at reflecting the goods and services bought by consumers. The GDP deflator and the CPI are equally good at refle..
A manufacturing company is considering investing in a new cutting machine that will cost $140,000 and has an annual maintenance cost of $15,000. There is also an additional overhauling cost of $30,000 for the equipment at the end of every four years...
My contention is the US is not expanding its production possibilities enough to lead to an increase in our PPC sufficient to increase our population’s standard of living. List two policies that the US government could use that would likely increase o..
Otto’s brother, Dent Carr, is in the auto repair business. Dent recently had little else to do and decided to calculate his cost conditions. He found that the total cost of repairing s cars is T C (s) = 2s2 + 10. Average Variable Costs: Average Fixed..
Elucidate, using diagrams where appropriate, explain how the averege costs of a firm may vary short period and long period.
Present an argument supporting the position that the ADA has been appropriately interpreted and applied by the courts (in terms of the types of disabilities covered), or that it has not (for example, that it has been overly interpreted and applied to..
Let’s say that the economy has recovered and the Wall Street is less volatile. Now you feel bold enough to invest 11,239 dollars in stock. You are looking for a growth stock whose value is projected to be 26,219 after 8 years and so you select Veeco ..
Jonathan consumes two goods, steak and instant ramen noodles. When Jonathan has less than $100, instant ramen noodles are a normal good. However, when Jonathan has more than $100, instant ramen noodles are an inferior good. Show the situation on a gr..
What happens to investment in the long run? How do you know? What will be the long-run effect of this change in saving/investment? That is, what will be the effect on K*/N and Y*/N? Explain and illustrate using the Solow model of chapters 10 and 11. ..
Long-run real interest rates are expected to increase. An accountant and an MBA student (who just finished his course of ) where interviewed regarding the effect on the firm they both work at. Keeping all else constant, their answer would likely diff..
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