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International Economics Chapter 6
1. Describe the sources of gains from trade for the consumer in the monopolistic competition model with differentiated products.
Hint: there are two mechanisms at work.
2. Describe the gravity equation (for international trade, not physics) in detail and provide the formula.
From what you know of human capital theory, does Employer Y's claims sound credible?
What are the characteristics of a "tragedy of the commons"? Can the emission of greenhouse gases (causing global warming)
a.) What is the 4th number in the 30th row of Pascal's triangle?
Explain the reasons behind the shift and how that has influenced the equilibrium price.
A particular item has demand of 3000 units per year. The cost of one procurement is Rs. 100 and the holding cost per unit is Rs. 2.40 per year. The replenishment is instantaneous and no shortages are allowed.
Find the Nash equilibrium of this Bertrand game and find the equilibrium output and profit for each firm.
Quantity of pizzas demanded soared following week from 1 pie an hour to 100 pies an hour. What was price elasticity of demand for Domino's pizza.
Suppose a firm can target two groups of consumers that can be perfectly identified by a menu of prices with different qualities but that the firm can also offer
What effect will each of the following have on the supply of auto tires? (Keeping all else constant)
Explain the relationship between one's beliefs about whether the minimum jobs program presented in the chapter actually solves the unemployment problem and one's normative view of responsibility for unemployment.
Identify an instance where a price control is used in our markets. Why do you think this price control exists? Also discuss the possible negative effects it may have on the market
Evaluate the influences of intellectual predictors of the following economic theorists: Adam Smith, David Ricardo, also Karl Marx.
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