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Problem
1. How can a country gain from trade if it is unable to change its production pattern?
2. During the debate prior to the passage of the North American Free Trade Agreement (NAFTA), opponents argued that given the relative size of the two economies, the income ains resulting from the agreement would likely be smaller for the United States than for Mexico. Comment on this position in view of what you have learned about the distribution of the benefits of trade in the Classical model.
The U.S. government is considering a pouch to lease oil rights inside of a monument, but will only allow it if it passes the compensation test. The forest service estimates the marginal benefit curve of park acres to visitors as MB = 300-3Q. The p..
congress is considering a tax credit program for those who purchase energy-efficient appliances. proponents of the
Characteristic of normal indifference curves (ICs) - What does this say about your preferences and what can you conclude about the marginal rates of substitution based on this graph?
In a Solow Growth model with technological change, if population grows at a 2 percent rate and the efficiency of labour grows at a 3 percent rate, then the steady state total output grows at what percent rate?
After choosing the topic do the article review which includes following steps a. a short summary that clearly covers all of the fey elements in the article. this summary must show that you carefully read and understood the content of the article.
What factors are considered in calculation of the CPI? Explain your answer. Where would you find data on CPI and PPI for the United States? What does the current level of inflation tell you about the state of the U.S. economy?
Suppose that the Fed's inflation target is 2%, potential output growth is 3.5%, and velocity is a function of how much the interest rate differs from 5%: %^V= 0.5 X (i-5). Suppose that a model of the economy suggests that the real interest rate is..
You should relate the class topics to the market (macro event) and then discuss the FX effects using the BOP, supply and demand relationships, and relative prices.
What is the term for the value of the next best alternative that we give up when we make a choice or decision?
Steel is labor intensive and rice is land intensive. According to the long run Heckscher-Ohlin model what happens when these two countries move frome no trade to free trade? Wages in France's rice industry? Wages in France's steel industry? The pr..
1. if the marginal propensity to consume in a municipality is 0.8 what is the value of the simple multiplier? 2. if a
If the demand for a domestic currency decreases in a nation using a fixed exchange rate system, what must the central bank do to keep the currency value steady.
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