Questions
how does having a flexible exchange rate affect a country's gdp as opposed to having a...

how does having a flexible exchange rate affect a country's gdp as opposed to having a fixed exchange rate?

In: Economics

How will you make customers read your corporate blog? As an example, I have about 50...

How will you make customers read your corporate blog?

As an example, I have about 50 tabs (more, 30 in the phone only) with stuff I wanted to read but never got to it.

In: Economics

Our natural resources are valuable and important to sustain so that we have continued access to...

Our natural resources are valuable and important to sustain so that we have continued access to these resources in the future. Please answer the following: What is a company’s obligation to contribute to the natural resource’s sustainability? If so, what does that obligation look like? Is this limited to local resources or globally as well

In: Economics

Consider the economic impact of immigration on individual welfare for the different subpopulations that comprise the...

Consider the economic impact of immigration on individual welfare for the different subpopulations

that comprise the U.S. labor market. Has immigration impacted them all uniformly or did it have

heterogeneous effects across different groups? If so, please briefly explain how the effects of

immigration may differ across different subpopulations of the U.S. labor market.

In: Economics

What are the effects of a tariff? Briefly explain who benefits and who loses when tariffs...

What are the effects of a tariff? Briefly explain who benefits and who loses when tariffs are

imposed?

In: Economics

17. Suppose that 1,000 people are interested in attending Elvis Land. Once a person arrives at...

17. Suppose that 1,000 people are interested in attending Elvis Land. Once a person arrives at Elvis Land, his or her inverse demand for rides is given by p(y) = 100 – 3y, where p is the price per ride. The cost function for rides in Elvis Land is c(y) = 20y + 0.5y2. Elvis Land charges a profit-maximizing two-part tariff, with one price for admission to Elvis Land and another price per ride for those who get in. What is the price for admission to Elvis Land?

- Answer: 40

18. Suppose that 1,000 people are interested in attending Elvis Land. Once a person arrives at Elvis Land, his or her inverse demand for rides is given by p(y) = 100 – 3y, where p is the price per ride. The cost function for rides in Elvis Land is c(y) = 20y + 0.5y2. Elvis Land charges a profit-maximizing two-part tariff, with one price for admission to Elvis Land and another price per ride for those who get in. What is the price per ride for those who get in?

- Answer: 600

19. Suppose that 1,000 people are interested in attending Elvis Land. Once a person arrives at Elvis Land, his or her inverse demand for rides is given by p(y) = 100 – 3y, where p is the price per ride. The cost function for rides in Elvis Land is c(y) = 20y + 0.5y2. Elvis Land charges a profit-maximizing two-part tariff, with one price for admission to Elvis Land and another price per ride for those who get in. What is the total monopolistic profit?

In: Economics

3. Utilizing T-accounts for all relevant actors, answer the following questions, a. If the FED buys...

3. Utilizing T-accounts for all relevant actors, answer the following questions,

a. If the FED buys a $10,000 treasury bill from Carlos Slim and he deposits the money in his bank, what happens to reserves and the monetary base?

b. If instead Carlos Slim deposits $5,000 in his bank and cashes in the remaining $5,000, what happens to reserves and the monetary base?

In: Economics

Recall the “Nash Demand Game” from the presentation in which two siblings (A and B) must...

Recall the “Nash Demand Game” from the presentation in which two siblings (A and B) must bargain for an inheritance of $1 million. Instead of the two submitting sealed proposals (Nash’s original story) or the two submitting potentially infinite offers and counteroffers to each other (Rubenstein’s bargaining game), suppose the will specifies the following procedure for splitting the inheritance:

Sibling A will go first and submit an offer to Sibling B for how they are to split the $1 million. B can accept or reject this offer. If B accepts A’s offer, A and B are paid accordingly. If B rejects A’s offer, A and B will wait one year. After one year, B will submit an offer to A for how they are to split the $1 million. A can accept or reject this offer. If A accepts B’s offer, A and B are paid accordingly. If A rejects B’s offer, A will receive $200,000 and B will get nothing (i.e., the remaining $800,000 will go to charity).

Assume that the siblings have identical discount factors of 0.75 (i.e., “a dollar one year from now is worth 75 cents to me today”). Also assume that both siblings are risk neutral, neither sibling receives any utility if the inheritance goes to charity, and neither sibling is worried about the fairness of the result.

What will happen in this negotiation? How much of the inheritance will A receive and how much will B receive? (Hint: What happens in one year if B rejects A’s initial offer? What does that imply about what A’s initial offer must be for B to accept it?) Which sibling has the advantage under these rules?

In: Economics

4. Utilizing the market for reserves and assuming that initially the federal funds rate is 1...

4. Utilizing the market for reserves and assuming that initially the federal funds rate is 1 percentage point below the discount rate but 1 percentage point above the interest rate paid on reserves,

a. Show what would happen to the federal funds rate if the FED decreased the discount rate by 0.5 percent

b. Show what would happen to the federal funds rate if the FED increased the interest rate paid on reserves by 0.5 percent

In: Economics

Jilai earns $12 per hour for up to 40 hours of work each week. He is...

Jilai earns $12 per hour for up to 40 hours of work each week. He is paid $18 for every hour in excess of 40. Jilai faces a 20 percent tax rate on his labor earnings. Regardless of how much he works, he also receives $200 in tax-free dividends from prior investments each week. There are 110 non-sleeping hours in the week. graph jilai.

In: Economics

Economics 1 What are the differences between a free trade area, customs union, common market, and...

Economics

1 What are the differences between a free trade area, customs union, common market, and economic union? Do any RTAs fit completely within one of these models of integration?

2 In what ways is the EU a unique RTA? What are some of the problems confronting the EU today?

In: Economics

In the open economy macroeconomic model, which of the following is included in the supply of...

In the open economy macroeconomic model, which of the following is included in the supply of U.S. dollars in the market for foreign-currency?
(x) Nebraska Life, a U.S. life insurance company, wants to buy a Japanese government bond.
(y) ABC Securities, a U.S. stock brokerage, wants to purchase stock issued by a French corporation.
(z) Tony, a U.S. citizen, wants to hold more currency in case of emergencies.
A. (x), (y) and (z) B. (x) and (y) only
C. (x) and (z) only D. (y) and (z) only
E. (x) only

According to the open-economy macroeconomic model, which of the following statements is (are) correct?
(x) In the open-economy macroeconomic model, if for some reason foreign citizens want to purchase more U.S. goods and services at each exchange rate, then the demand for dollars in the market for foreign-currency exchange shifts right.
(y) If foreign citizens want to buy fewer U.S. bonds, then the demand for U.S. dollars in the market for foreign currency exchange will shift to the right
(z) If the real exchange rate for the dollar is below the equilibrium level, the quantity of dollars supplied in the market for foreign-currency exchange is less than the quantity demanded and the dollar will appreciate.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (x) only

which of the following statements is (are) correct?
(x) A trade policy is a government policy that directly influences the quantity of goods and services that a country imports or exports.
(y) An “import quota”.is a limit on the quantity of a good that can be produced abroad and sold domestically.
(z) A tax on imported goods is called a tariff.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (x) only

In: Economics

What factors do you think are important when developing a total cost model? What do you...

What factors do you think are important when developing a total cost model? What do you think might be the greatest barriers to developing a total cost of ownership measurement system?

In: Economics

1. what is Bangladesh level of gdp and the growth of gap for at least 10-15...

1. what is Bangladesh level of gdp and the growth of gap for at least 10-15 years

2. what is Bangladesh savings ratio, investment and trade ratio.

In: Economics

1. Which of the following statements is (are) correct? (x) In the open-economy model, the key...

1. Which of the following statements is (are) correct?
(x) In the open-economy model, the key determinant of net capital outflow is the real interest rate.
(y) When the U.S. real interest rate decreases and is low, owning U.S. assets is less attractive and so U.S. net capital outflow is relatively high.
(z) Ceteris paribus, if the German real interest rate were to increase, German net capital outflow would fall and net capital outflow of other countries would rise.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (y) only

In the open economy macroeconomic model of the textbook, which of the following is included in the demand for U.S. dollars in the market for foreign-currency?
(x) A retail outlet in Canada wants to buy computers from a U.S. computer manufacturer.
(y) ABC Securities, a U.S. stock brokerage, wants to purchase stock issued by a French corporation.
(z) A United States bank that has branch offices in Mexico and Canada loans dollars to Tom, a resident of the United States, who wants to purchase a new car that was made in the United States.
A. (x), (y) and (z) B. (x) and (y) only
C. (x) and (z) only D. (y) and (z) only
E. (x) only

Which of the following statements is (are) correct?
(x) If at a given real interest rate desired national saving equals $50 billion, domestic investment equals $40 billion, and net capital outflow equals $20 billion, then at that real interest rate in the loanable funds market there would be a shortage and the real interest rate would rise.
(y) As the real interest rate falls, domestic investment rises and net capital outflow falls.
(z) If the quantity of loanable funds supplied is greater than the quantity demanded, then there is a surplus of loanable funds and the interest rate will fall.
A. (x), (y) and (z)
B. (x) and (y) only
C. (x) and (z) only
D. (y) and (z) only
E. (x) only

In: Economics