Who does not buy a darned thing and why

Reference no: EM131835417

Question: 1. In Panama, a dollarized country, a Big Mac is about 30% cheaper than in the United States. Why?

2. Nobel Laureate Robert Solow once jokingly noted, "I have a chronic trade deficit with my barber, who doesn't buy a darned thing from me." Is this a problem? Why or why not? How does this relate to the U.S.-China, U.S.-Mexico, and U.S.-Japan trade deficits?

Reference no: EM131835417

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