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The North American Free Trade Agreement (NAFTA) went into effect on January 1, 1994. This sweeping agreement is designed to open the borders separating Canada, Mexico, and the United States to the free exchange of goods and services. There are many pros and cons of NAFTA that have emerged since 1994. The future of NAFTA is in the wind these days. It may fail or succeed for the next ten years. You job is to help Congress and other decision makers to decide what course of action they should take regarding NAFTA's future. You are to take the side that NAFTA is a bad business investment; you are to represent the "con" side of the argument. So, discuss why you would defeat or destroy NAFTA or morph it from its current state to some other new state
What is the externality associated with an individual driving on a congested highway? How do tolls help alleviate this externality? How should tools be set? (Hint: would you always want the toll to be the same all day?) The steel industry pollutes th..
The spot price of oil is $110 per barrel and the cost of storing a barrel of oil for one year is $3.25, payable at the end of the year. The risk-free interest rate is 6% per annum, continuously compounded. What is an upper bound for the one-year futu..
According to a news agency article, a particular model of car (Sundra) costs $65,000 to produce, while its market price is $34,000. As a result, the author of the article concluded that the automobile company would be losing $31,000 on each Sundra it..
Ms. Fogg is planning an around-the-world trip on which she plans to spend $10,000. Her utility from the trip is a function of how much she actually spends on it (Y), given by: uppose that people who buy insurance tend to become more careless with the..
Suppose the demand function for a particular good is given by: Q=100-2P. Calculate the point elasticity of demand at price of $10, $30, and $45. At what price and quantity is total revenue maximized? What is total revenue equal to at this quantity? S..
Consider a problem such as Costumed Characters in Times Square harassing tourists for money. Give examples of a SMORC policy, a Behavioural policy and a CMORC policy (either version) to deter this problematic behaviour. What distinguishes each policy..
Suppose there are two goods, labeled x, y. A consumer has a budget of w = 220. Suppose the following two consumption bundles: (x = 4, y = 10), (x = 6, y = 4) all cost the consumer 220. (a) What’s the price ratio between the two goods? Namely what’s p..
What do Gordon and Golden mean by the” great compression”? When did it occur? Has it continued? Can you give a reason for both events? What are the implications that Gordon highlights in terms of productivity?
q.the warren amp smith company manufacturers commercial zippers of two kinds kind x and kind y. its production
rite a four to five (4-5) page paper in which you: 1.Describe the business and explain the general pattern of change of the particular market model indicating how this change is likely to impact business operations.
How does Costco differ from other retailers? What is their business model? Who is the Costco target customer? Why? Why are the stores laid out the way they are? How is this different from other retailers? Why does Costco keep the price of its hot dog..
You are the manager of a monopoly that sells a product to two groups of consumers in different parts of the country. Group 1’s elasticity of demand is -6, while group 2’s is -3. Your marginal cost of producing the product is $70. a. Determine your op..
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