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Postcard: Bangalore. Hearts set on joining the global economy, Indian IT workers are brushing up on their interpersonal skills. The huge number of Indian workers staffing the world's tech firms and call centers possess cutting edge technology knowledge, but their interpersonal & communication skills lag far behind. Time Mag. 5/5/08
A. What comparative advantage does this news clip identify?
B. Using the info in this news clip, what services do you predict Bangalore India exports and what services do you predict it imports?
C. Who will gain and who will lose from the international trade that you described in your answer to B?
Application of Nash Equilibrium and Game Theory with examples
A mathematically fair bet is one in which amount won will on average equal the amount bet,for example, when a gambler bets say, $100 for a 10% chance to win $1000
It has been proposed that toll collection on the Massachusetts Turnpike, a key commuter route into Boston from the west, be discontinued. Proponents argue that tolls have long ago paid for the cost of building the road; now they just provide cash ..
Economists often view life cycle variation in income as one form of transitory variation in income around people's lifetime or permanent, income.
Explain International Monetary System
You are the manager of a firm that manufacturers front and rear windshields for the automobile industry. Due to economies of scale in the industry
Suppose instead that the government wishes to impose a value tax of $0.25 on each dollar of the consumer's expenditure on good 1.Show the effect of imposing this tax in a graph containing before and after budget lines.
E-books and the paper book versions of the same books are substitutes. Assume that copyright holders originally demand a higher price for e-books than for paperback books. Then they relent and allow publishers to sell e-books for a lower fee.
The economic prices of international buiseness usually exceed the economic benefits in both the short-term and long-term.
Suppose China exports TVs and uses the yeah as its currency, whereas Russia exports vodka and uses the ruble. China has a stable money supply and slow, steady technological progress in TV production, while Russia has very rapid growth in the money..
Describe and graph (using AD/AS framework) an example in today's news of fine tuning economy. Assume the MPC in an economy is 0.8, the APC is 0.8 and disposable income is $9 billion. If disposable income increases to $14 billion, what is the new le..
work decisions are based upon a comparison of priviate cost and the private benefit. The excludedable benefit of addtional work is measurable as the change in what options - income less transfer payments lost, gross income, net tax payments, adjus..
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