Q1 the standard of living for the poorest third of the

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Q1. The standard of living for the poorest third of the world is falling behind the standard for the rest of the world also is not improving very quickly. Aside from those listed in the text, illustrate what are some other factors that might influence the economic status of such countries? Illustrate what measures could be taken to improve these situations?

Q2. Consider the general equilibrium model on local public goods that we discussed in class. We found that the optimal population size is reached whenever f '(N) = X where f '(N) is the marginal product of the last person who immigrates; also X is this person's consumption of the private good. Briefly explain the intuition behind this equation.

Reference no: EM13355465

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