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1.Are you for or against free trade? Are you for or against NAFTA? What is the economic basis for trade? Explain the underlying facts that support free trade and give an example of a good that you purchased recently that is based on resource differences. What are some examples of goods that the U.S. has comparative advantage in producing? Take a look at the tag of the shirt/dress/pants you are wearing today. Where was it made? Anyone wearing "Made in America" items of clothing today? We sometimes hear people say "Buy American." Why don't we? What is the basis of international trade? What are the benefits and the costs? Under what conditions would you advocate for trade restrictions?2. What is happening to the value of the U.S. dollar these days? What causes the value of the U.S. dollar to rise or fall? Who demands U.S. dollar? Who supplies U.S. dollar? When we purchase German products, does our demand for euro go up or down? What are freely floating exchange rates all about, and how do they work? How can the falling U.S. dollar impact your travel expenses? Why would a cheap dollar relative to other nations' currencies be good or bad for U.S. trade?
Describe the effect of such clauses on both the government, and other customers, noting, inter alia, the effect on the selling firmâ.
What is a government budget deficit? How does afederal budget deficit affect the economy? How does it affect thelevel of investment and interest rates? How does it affect theindividual consumer? Give at least three examples in yourresponse.
In the two sector economy where there is no personal tax,how is personal income related to personal consumption expenditures and personal savings?
Some time ago an executive of a Broadcasting company argued before a congressional committee that they should make a law rating TV shows for violence content. He said that children are damaged and violence must be curbed.
Pace Automation Corporation in Cookeville, Tennessee must choose the better economical alternative between the two listed below. If 1,000 units are required per year, which alternative is economically attractive? Assume that the life of the automa..
Maggie's utility function is and her income is $5000. Then her MRS at generic bundle (x1, x2) is 50-0.25x1. Commodity 2 is a composite good, and hence its price is unity.
Data collected in the imaginary economy of Kharkeez reveals that when the price of a bork increased by 20%, the quantity of bork sold decreased by 30%, and the quantity of perf demanded increase by 15%
Explain in briefly about two paragraphs the supply and demand analysis and the impact of government regulations at McDonalds.
Economists are often criticized for making assumptions. Explain why are assumptions necessary? To think about this, you might consider an assumption that is often made,
Who benefits from a tariff or quota. Illustrate what are the positives and negatives of protectionist trade policies on the federal government's part. Which policy is best right now.
The Hanover Manufacturing Company believes that the demand curve for its product is P = 5 - Q-Evaluate the wisdom of the firm's pricing policy
taxis in many cities around the world the taxi-cab industry is heavily regulated. analyze the three different regimes
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