When Japan’s “1955 System” took root in that year, it was thought by many that the Japan Socialist Party (JSP) would get stronger and eventually win general elections. Explain at least two reasons for why observers thought the JSP was in a good position in 1955.

1. Why do you think it's difficult for our generation to save money?
2. Share one piece of budgeting/financial advice you've learned or heard

The informal sector is becoming an ever-larger part of the urban economy. Just as much as some benefits accrue to the individuals belonging to the informal sector, there are benefits that accrue to the formal sector as a result of the existence of the informal sector as well. On the other hand, duality, inequality and urban poverty also result from the existence of the informal sector. Distinguish between the urban formal and informal sectors, and discuss both the positive and the negative aspects of the informal urban labor market.

Write an essay, to distinguish between the urban formal and informal sectors, and discuss both the positive and the negative aspects of the informal urban labor market

An increase in female non-agricultural wage employment opportunities is likely to reduce birth rates if the price effect is stronger than the income effect. Explain with a graph.

You have been asked by the minister of the economy in your country to make policy recommendations pertaining to your country’s high rate of growth of population growth among the poor. Displeased with the prospect of growing poverty the minister is hesitating between providing subsidies to poor families to reward them for few children or increasing funding to health care. Not being able to afford both policies, which of the two areas will you suggest that funds be allocated to? Write a report to the minister, justifying your choice and explaining why you think that your chosen area will contribute most to reducing poverty among the poor. Make sure to look at the problem from all sides.

The Big Push model illustrates alternative cases where the economy can reach equilibrium with a higher level of total output with coordinated efforts by modern firms and cases where such an outcome is impossible despite such efforts. Explain with a graph only the case where there exists a possibility of a coordination failure.

Suppose that a developing country devotes extensive resources towards improving the education and skill level of the labor force. How might this help the economy avoid a coordination failure? Is this strategy likely to be successful? Why or why not?

Two rural individuals Matyás and Toka are contemplating leaving their village for a nearby town. Given that Matyás has a secondary school certificate, she has a higher probability of obtaining an urban sector job than Toka, who is a primary school drop out. If they remain in the village and work on their family farms, they earn $200 each per year if the yield is high and $100 per year if the yield is low. The yield will be high with probability 0.5 and low with probability 0.5. Alternatively both these individuals can choose to migrate to town, in which case they each expect to find a formal or informal sector job, paying the following earnings according to the given probabilities.

1. (a) According to the Harris-Todaro model, on a one-year time horizon, which individual will migrate? [2 points]

2. (b) On the three-year time horizon, which individual(s) will migrate? (Assume the rate of interest at which both can borrow or lend money is i = 5%) [5 points]

3. (c) Assume a one-year time horizon. Suppose now that there is a traditional family support payment of $40 that all urban migrants must pay yearly to their relatives back in the village. At the same time, each bears a ‘psychological cost’ associated with moving to the city. Such a cost is $25 for Matyás and $15 for Toka. Again, according to the Harris-Todaro model, which farmer will migrate to town? [5 points]

4. (d) Assume a one-year time horizon, Still maintaining the ‘psychological’ costs associated with moving to the city, suppose now that all formal jobs also come with medical benefits, which are worth $30 a year, in additional to the wage. Informal sector jobs do not carry any such benefits. According to the Harris- Todaro model once again, which individuals will migrate to town? [3 points]

Enrique lives in rural Ecuador and is finishing his high school. As an outstanding student, he was accepted by the leading private university, University de Quito to study in a two year program on comparative literature and linguistics to become a college teacher. If he goes to university, he will pay a tuition fee of $1000 ($1 = 1 peso) per year (for 2 years). Suppose also that there is a “psychological” cost of $400 associated with moving to the city of Quito, which represents the money equivalent (paid only once in the first period) of leaving his family / girlfriend.

In the first year, Enrique can work in the library of the university and earn $1000 per year, while during the summer of the second year he can do an internship and earn $2000. At the third year, he may start working as a college teacher, where he will earn $4000 per year for the first 2 years of his career. For the sake of this exercise, suppose that we only have 4 periods.

If Enrique refuses to go to University, he will work on the family farm and will earn $1000 per year for the first two years. His father promises him a salary equal of $3000 from the third year. Consider a discount factor of 10%.

1. a) Calculate the expected present value benefits of studying.[7points]

2. b) Calculate the expected present value costs of studying (direct and indirect costs) [7

   points]

3. c) Should Enrique go to the University? [1 points]

1- Give two examples of how the United States prepared to fight World War II before war was declared?

2- Give two examples of how the Allies planned for the post-war world.?

What is a production function? What does it describe? How is it used?

Define "marginal product". How is it calculated? How is it used?

In economics, how is "profit" defined?

In economics, how is "economic profit" defined?

COLD WAR DISCUSSION What was the reason for the breakdown in friendly relations between the United States and the Soviet Union? How has this shaped history for the last 50+ years? During the Cold War, politics abroad and politics at home were connected. How so? How did actions abroad shape beliefs at home or vice versa?

1. Now, suppose that Humongous National loans the amount that you found in part b) to Ronaldinho Gaúcho.

Fill out the blanks in the Humongous National Bank’s T-account to reflect this transaction. Show your calculation.

Answer:                                                                                                                                (4 points)

Humongous National’s T-account:

Assets                                                                               Liabilities__

TR=   $3,080                                                                              D =  $3.080

            RR = $369.60

            ER = $2,710.40

2. As a result of this transaction, can Humongous National continue loaning out money using Leo Messi’s initial deposit of $3,500?

Answer:  (circle the correct answer)                                                                                  (3 points)

YES    NO

I have the T-Chart filled out, I just need an explanation on the YES/NO question. Thanks