1) Suppose the cost of basket is P_eu = 300 euros in the Eurozone and P_Turkey =800 liras in Turkey. Suppose the home country is Turkey, and the exchange rate is 1.8 liras per euro.

a) Write the absolute purchasing power parity (PPP) equation. Check to see whether PPP holds for the lira-euro exchange rate.

b) Calculate the real exchange rate. Determine whether lira is over-valued, under-valued or neither.

c) Write two reasons for why the tendency for PPP to hold is weak in the short-run.لا

Write a research about The effect of postponing consumer bank premiums for 6 months on the Kuwaiti economy?

5-6 pages maximum

Explain how a decrease in productivity growth is likely to affect a country’s macroeconomic performance (detailed answer please)

Australian company Too Cool has developed two new virtual reality games based on The Hunger Games and X-Men movie franchises and wants to market these offshore. Select one country and develop an international promotion strategy for the company’s entry into that country. In particular, consider the following: • Culture • the consumer behavior/buying process, • levels of economic development and • constraints such as media availability and language. In your response, consider the different promotional tools that could be used (e.g. advertising, sales promotion, direct marketing or social media) in the context of the country, product, consumer and competition.

Alienware and Foxconn are two multinational electronics company operating in a homogeneous computer hardware market. The engineering department at Alienware has been steadily working on developing a patented technology that has enabled the firm to reduce its marginal cost and emerge as a leader in the market.

The inverse demand function for the market is   P = 1200 - 6Q

Alienware's costs are TC = 60Q_A and Foxconn's costs are TC = 120Q_F.
The current output for Alienware is Q_A = 100 while Foxconn produces Q_F = 50. The current price is P = 300.

Ignoring antitrust possibilities, suppose Alienware makes an offer to Foxconn and they are in the process of negotiating a merger.

What is the potential price of the product after the merger?

      In view of the Coronavirus epidemy, the Bank of Canada along with most advanced nations’ central banks has cut its policy interest rate by 1.5% to 0.25%.

1. Explain the Bank of Canada’s intention and motive behind this policy.
2. Employing the model of interest parity, discuss with the help of a diagram the expected impact of these interest cuts on the exchange rate (Canadian dollar).
3. Now explain how the expected change in the Canadian dollar is hoped to affect Canada’s net exports (NX) and Canada’s GDP.

What role was played by quantitative easing (QE) in the U.S. after the “Great Recession”? Was this QE necessary or not? (Explain in great detail with reference to economic policies)

What indicators would you look for in assessing the political riskiness of an investment in Eastern Europe?

Adam Smith coined the Diamond Water Paradox. Where something that is essential to life has little value where something that does not has great value.

1.) Explain what theory Adam Smith was using and therefore was unable to explain why the paradox existed.

2.) Explain how modern economist have solved the Diamond Water Paradox.

3.) Explain the difference between Marginal Utility and Total Utility

4.) Give an example of Marginal Utility vs Total Utility in today's society.

give each answer an example

Determining a Stock's Value

Of the three different investment theories used to evaluate and determine a stock's value (Fundamental Analysis, Technical Analysis, and Efficient Market Hypothesis), which one of these do you think is the most effective and why? Make sure to discuss the facts, or reasons, supporting your conclusion.

how developing nations might better manage globalization to maximize its effect on both terrorism and growth?