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1. What about your daily life ?- Where and how does Comparative advantage come into play in your life?
2. What do you think about comparative advantage?
3. Whats mean :Exchange rate, Fixed Exchange rate, Floating Exchange Rate?
The Company IIE Inc. is considering upgrading their distribution center (DC) and have received investment proposal from four different vendors. The budget limitation for the investment is $1 million. Alternative 1 and 3 represents the implementati..
Assume the USA and Canada are considering to trade. Assume there are only two goods in the economy: potatoes and rice. The table below illustrates what each country can produce in a given year.
Compute the AE function and plot it in diagram. What is total autonomous expenditure? What is slope of the AE function?
A purely competitive firm's output is such that its marginal cost is $4 and marginal revenue is $5. Hint: remember that MR = P for Pure Competition and the Profit Maximizing rule. Assuming profit maximization, the firm should
Compute the value of the price index for GDP for 2005 using 2004 as the base year. By what percent did prices increase.
Assume that the interest parity condition holds and that both the expected exchange rate and foreign interest rate are constant. Given this information, an increase in the domestic interest rate will cause:
In most developing nations, there are long lines of taxis at airports, and taxis often wait 2or3 hours. What does this tell you about the price in developing nations market?
Graph the accompanying demand data, and then use the midpoint formula for Ed to determine price elasticity of demand elasticity of demand.
the manager of a local monopoly estimates that the elasticity of demand for its product is constant and equal to -2.
What are the economic theories of opportunity cost, supply and demand of a resale store or non-profit organization?
1. What is a demand function? Which variables determine demand? 2. What happens to demand when the following changes occur? a. Price of the good declines.
Elucidate the impact of the global financial crisis of 2008-2009 on the economies of industrialised countries and emerging markets. What effect do problems like these have on attitudes towards free trade.
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