1. What is the impact of a business cycle recession on the interest rate? Show graphically using S and D for bonds and using Liquidity preference framework. How are the results different?

Use the monopolistic competition model to analyze the potential effects of trade
(importing and exporting) on the pharmaceutical industry. (hint: highlight the tradeoffs).

1. In the collusion game, we found that collusion was only sustainable in the infinite horizon repeated game. One Nash Equilibrium of that game can be found when all players play a “grim trigger” strategy, where they collude until an opponent chooses to compete, and then compete for all future rounds as a punishment. In such a game, if the one period bonus that comes from competing is low enough, firms always collude and the punishment is never triggered. However, let’s think a little deeper about this Nash Equilibrium. Is the punishment (vowing to compete forever after one deviates) realistic, especially if firms can communicate freely? Why or why not? (Hint: Is a grim trigger Nash Equilibrium a Subgame Perfect Nash Equilibrium? What kinds of Nash Equilibria does Subgame Perfection rule out in sequential games?)

The rise of MBS, mortgage-backed securities, and other somewhat complex financial instruments is thought to be one the primary causes behind the Global Financial Crisis and the Great Recession following the crisis. Describe what securitization means and how incentives of all participants (i.e. borrowers, local banks, national banks, investment banks, insurers) led to the incredible rise of MBS in the leadup to the crisis.

What advantages do markets offer when viewed as selection devices for the evolution of an economy? (Beinhocker Chapter 13)

Respond to the following in a minimum of 175 words:

Discuss the limitations of GDP as a measurement tool.

What types of political, economic, and competitive challenges does MTV Networks International face by operating worldwide?

In fewer than 500 words, argue that beauty is an objective quality,and not a subjective taste.5(Hint: first, define beauty in a reasonable manner. Then,destroy the subjective argument, by showing that it is logically empty based on yourdefinition.)

Please write 600 to 800 words to answer the following questions:

What is Economics?

Why Study Economics?

What can be achieved by studying Economics?

What is Economist?

Summarize the benefits of studing Economics.

how military crisis effects business?

3. What are the three main sources for economic growth in any economy? Describe each source.

4. How can increased investment help a country achieve increased economic growth? What are the costs involved?

Why was the U.S. trying to spread our influence to other nations? Could we have still traded with nations if they were communist or under the influence of the Soviet Union? Explain.