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1. Show and describe the short run effects of immigration. Is immigration good in the short run? Repeat the story using the Mariel Boat Lift as an example.
2. Assume we have a Hecksher-Ohlin model from class. There are two countries (Vietnam and Japan) producing two goods (Microprocessors (M), Shoelaces (S)). Assume M is relatively capital intensive in production and Japan is relatively capital abundant. Answer all of the following questions for each country.
a. State the H-O Theorem. What will be the pattern of trade between the Vietnam and Japan?
b. Are your PPF's straight, bowed, skewed? Why?
c. Which country has a higher relative price for Shoelaces? Why?
d. Show what happens to the demand for labor relative to capital (RD) after trade. Label all curves and outcomes on the graph.
e. What happens to real returns after trade? Is trade good?
1. Explain and discuss the Theory of Absolute Advantage. How does it differ from the Theory of comparative advantage? Make up your own example. Please cite your source.
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To prepare for this Assignment, review the P4 Performance Management performance gap analysis from this week's resources in order to familiarize yourself with the components of a traditional gap analysis.
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After reading the book, "Big Picture Economics," you are to construct a reaction paper which presents your interpretation, opinion, and argument based on the concepts presented in the book by using the following questions as a guideline.
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1. What must you do to prepare for being a part of a change effort in an organization? How would someone be able to add value to that effort?
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