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Q. Who are the major participants in the foreign exchange market?Answer:1. Commercial banks2. Corporations3. Nonblank financial institutions4. Central banks
Q . Consider that the relative capital abundance of Australia was so much greater than that of Sri-Lanka, that we would have to locate Australia far to the right on the K/L axis.
Assume that Deborah Electronics expects a delivery of Fujitsu laptops in a month from a Japanese supplier. Each laptop sells at $1000 in a retail market whereas the import cost is
what is the diffrent between inter-industry trade and intra industry
Q. What is the national income identity for an open economy? Answer: Y = C + I + G + EX - IM.
the year of alternative / new trade theoriess
Q. In autarky, Country P was producing at point 5. With trade, could its production point be found above or below point 5? Explain why. What must happen in the K/L intensity ratio
1.concepts of terms of trade,factors affecting terms of trade. 2.gross & net barter terms of trade. 3.terms of trade & economic development
What does the factor proportions theory posits
HOW TERMS OF TRADE IS DETERMINED
Suppose that industry 1 is monopolistically competitive, with a CES sub-utility function: U(c1,c2 ) = c1? + c?2 , 0 We let the marginal costs be denoted by c1(w,r), and the fixe
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