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If you continue with the example of Problem 1, which country has an absolute advantage in wine? in wool? Which country has a comparative advantage in wine? in wool?
An industry consists of two firms, each of which have variable costs of $10 per unit but no fixed costs. The industry demand curve is P = 70 - Q. Solve for the Cournot equilibrium. In doing so, derive the reaction function of each firm (call Q1 an..
Why are prices in the United States different in (c) and (b)? Are consumers better off with free trade? In what ways?
Consider the model of demand deposits described in class. Suppose N=900,y=10,v^k-?=0.9,and X=1.2. Let each person have a two-thirds chance of being a type 1 and a one-third chance of being a type 2.v^k is price of capital
Assume that the officials in Ecoland have compiled the following information about their economy for last year: The government uses the following equation for the investment function: I = 3,300 - 100r Where r = equal to Ecoland's real interest rate.
Income Savings I(planned) Consumption 200 -20 60 400 0 60 600 20 60 800 40 60 1000 60 60 1. Fill in the last column. 2. The equilibrium level of income in this example is 3. According to this data, the marginal propensity to consume is .
Cooper Bank is considering making a loan to Valles Global Industries to buy a machine tool worth $300 million at 1% interest. The tool has no salvage value and is depreciated over 3 years by sum-of-years digits. In this state, VGI pays 50% tax. ..
List several types of comparisons an auditor might make in performing analytical procedures.
What can you do to change the bargaining to your advantage? Compute the profit consequences of your advice.
Econometrics. define the word and state in your own words what it entails
Then determine NDP. The Expenditure approach equals out to $361 Billion, the way to find this is to add up all the expenses, and the Income approach equals out to $380 billion and the way to find this part is to add up all the income. With that de..
a model of the determinants of health combines three economic variables and two economic relationships. for instance
In contrast, macroeconomics is concerned with things that affect the country as a whole, such as how the rate of teenage smoking in the United States would be affected by an increase in the tax on cigarettes."
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