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In Mexico, public spending on infrastructure-electricity generation, roads, railways, water plants and the like-was a third lower in 2004 than a decade earlier, according to a report by Merrill Lynch, an investment bank. The World Bank describes two-fifths of the country's motorways as 'pre-modern'. Nevertheless, the government has found the money to spend 0.7 percent of GDP on subsidizing the electricity that is consumed-which does nothing for the poorest, who live in the dark in rural areas." ("Slow! Government obstacles ahead," The Economist, Jun. 15, 2006.) the situation described represents a misallocation of resources that will inhibit economic growth in Mexico. What ingredients are missing from the "recipe" for growth in this case?
A student's senior year in college will cost $80,000 in lost earnings and direct expenses. Then, for the first two years after graduation the student will earn $100,000 and $200,000. Alternatively, the individual can earn $50,000 for what would ha..
QUESTION 1: If a physician receives a bonus for referring a patient for cardiac surgery to a specialty hospital nearby his office:
The following payoff matrix shows the possible sentences that two suspects, arrested on suspicion of car theft, could receive. The suspects are interrogated separately and are unable to communicate with one another. Use the payoff matrix to answer..
Consider the model given in Equations. Obtain data on the crime rate, law enforcement spending and Gini coefficient for any country of your choice.
Assume that there are 2-states that do not trade, Iowa and Nebraska. Each state manufacture the similar two goods: corn and wheat.
A law was passed requiring a minimum weight for fashion models. Using game theory 2X2 matrix, show how the law prevents a prisoner's dilemma and makes the models better off. Show what the game theory looks like without this law.
What do you predict will happen to the foreign exchange rate if interest rates in the United States increase more than in the UK? (In other words, which currency will become stronger?) How would such a change affect US exports to the UK
Explain why do some regions promote unrestricted trade within their region but restrict trade that crosses the region's boundaries.
What is the current GDP growth rate for the U.S.? Examine the trend over the past few years. What trends interest you? What stage of the Business Cycle would the U.S. economy be in currently given the trends?
Virtualization host with four processors. Each processor has four cores. According to vendor guides you can support up to 18vCPUs per physical CPU. You want to keep 20% of your CPU capacity in reserve. How many single vCPU virtual machines will yo..
Assume the following: The demand for all computers is price elastic. Laptop and desktop computers are substitutes. Laptops and DVD burners are compliments. Using three separate S&D graphs (laptops, desktops, and DVD burners) to show the impact of ..
Illustrate Toms price elasticity of demand also what does his demand curve look like (either verbally explain the shape of the demand curve
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