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Q1. Suppose that on January 1, the price of one hundred yen was $0.80 and PPP held. Over the year, the Japanese inflation rate was 5 percent and the U.S. inflation rate was 10 percent. If the exchange rate at the end of the year was $0.90, does the yen appear to be overvalued, undervalued, or at the PPP level? Explain your answer.
Q2. It has been noted that during World War II, Germany made a critical mistake by having its formidable Tiger tanks produced by locomotive manufacturers while the less formidable U.S. Sherman tank was produced by American car manufacturers. Use the product-process matrix to explain that mistake and its likely result.
imagine a backyard garden of fixed size and all other inputs except labor also fixed ; will adding a worker increase your output? Will adding another increase output by as much? another?
Illustrate what will be real interest rate that clears goods market at G = 2000 and Y = 10,000. Conclude autonomous investment and marginal propensity to invest.
Suppose its GDP grows by 1% in the next year and the budget deficit is again $100 billion. Compute its new level of national debt and its new debt-GDP ratio.
some firms leave the industry and the industry returns back to a long-run equilibrium. Illustrate what will be the new equilibrium price, assuming cost conditions in the industry remain constant.
Write down an expression describing total income from tickets plus popcorn plus other concessions. Forecast total incomes for regular also special Tuesday-night pricing.
Elucidate how would this increase in confidence affect the value of the dollar. Elucidate how would it affect the trade deficit.
What is the marginal rate of substitution (MRS) and why does it diminish as the consumer substitutes one product for another? Use examples to illustrate.
Given the scenario, your role and the information provided by the key players involved, it is time for you to make a decision.
then an initial increase in aggregate demand of $100 billion will eventually shift the aggregate demand curve to the right by.
mustard and mayonnaise are substitutes. mustard and relish are complements. mustard is a normal good. during the summer
Discuss which key concepts and topics in this course have made you a stronger candidate to enter the business world.
Illustrate what greens fee should the operator set on weekday also Elucidate how many rounds will be played n the weekends.
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