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1) In a global economy, if domestic firms are unable to reduce labor costs in reaction to foreign competition, then most likely:a. employers will be forced to find other ways to cut costs and remain competitive.b. the profits earned by manufacturing firms will be reducedc. the prices charged for manufactured products will have to be raised.d. firms will outsource the manufacturing to a foreign country where costs are lower.
2) Suppose that in Canada opportunity cost of manufacturing 2 television sets is 3 bushels of wheat. Suppose that in the United States the opportunity cost of manufacturing 2 bushels of wheat is 3 television sets. If these two countries specialize according to comparative advantage and then trade with one another, then __________.a. Canada will import both televisions and wheatb. Canada will import wheat and export televisionsc. the U.S. will import wheat and export televisionsd. the U.S. will import both televisions and wheat3) In principle, __________ have ultimate control over the U.S. economy.a. corporationsb. householdsc. multinationalsd. politicians
Suppose that the inflation rate in the United State and japan are 4 percent and 2 percent, respectively and that the current spot rate is $.0083333 per Japanese yen or 120 Japanesse yen per one percent dollar.
Find the current state of the dollar versus other international currencies? What has been trend for the last six months and Determine the size of the national debt?
The table given below shows the values of two goods. Assume wheat is produced in the United State and coffee beans are produced in Kenya.
Discuss and describe the difference between absolute advantage and comparative advantage. Determine the significance of each in international trade processes?
Discuss the two main challenges of the international trading system and how have these concerns been negotiated among trading partners?
In September 1983, it took 245 Japanese yen to equal $1. More than twenty years later that exchange rate had fallen to 108 yen to $1.
Suppose if airline industry was operating under other market structures, how would equilibrium price and quantity differ? Would it be higher, lower, or same?
Create key strategies for designing an effective organizational structure and facilitating development of VRI's global team.
The given table lists the stages needed in the production of a personal computer. Determine the value of the computer in the GDP?
The extensive application of protective tariffs destroys ability of international market system to allocate resources efficiently.
Information covering the most recent thirty days are given in the following table for the value per gallon of regular gasoline at a local station.
Suppose the effect of monetary policy on the exchange rate value of the dollar. Estimate the effect of expansionary monetary policy on each of the following.
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