Provide an example of positive externality and an example of negative externality that would justify protectionism. Discuss how protectionism can help reach that goal. If you can think of a better policy to reach the goal desired through protectionism, please explain that policy and why it would be preferable

Explain in your own words why banks exist (again you cannot paraphrase). Be as specific as you can. Think about what problems they solve.

In the United States some critics of the World Trade Organization say that it has failed to protect US interests. Others disagree. Given that high technology products and agricultural products are important export items for the US, which WTO agreements could have been used to protect US interests in these areas, and in what way?

The flow of globalization changed backward to old days ; how ?

Distinguish between Walras’s general equilibrium approach and Marshall’s partial equilibrium approach. ( 2 page answer)

a) Explain the advantages and disadvantages of exchange rate targeting.

b) Supposing that Malaysia is adopting the fixed exchange rate system. By assuming that the Purchasing Power Parity holds, and based on IS-LM and AD-AS diagrams, explain what would happen to relative prices if the government increases or decreases its expenditure.

c) Differentiate between a fixed and flexible exchange rate.

d) Despite the disadvantages, why is fixed exchange rate preferred?

Explain the effects of a tax on producers on the equilibrium price and quantity in a competitive market. Comment on the effect on surpluses and the gains from trade.

“Policymakers are in favor of using the flexible exchange rate system compare with the fixed exchange rate system to attain both the internal balance and external balance of the economy.” Explain.

Consider the market for DVD players and HDTVs (high-definition televisions). A firm can produce DVD players at an average cost of $20 each, or HDTVs at a cost of $150 each. Which product should this firm produce if the price of DVD players is $15 and the price of HDTVs is $200? Why? Explain what you would expect other firms in both the markets for DVD players and HDTVs to do. Assume both markets are competitive.

Dear Students,

Read about Crypto currencies and answer the given question.

“Recently, cryptocurrencies and bitcoin have become the main topics in the financial industry. A cryptocurrency is a digital or virtual currency that uses cryptography for security. A cryptocurrency is difficult to counterfeit because of this security feature. A defining feature of a cryptocurrency, and arguably its most endearing allure, is its organic nature; it is not issued by any central authority, rendering it theoretically immune to government interference or manipulation. Cryptocurrencies have their benefits and drawbacks. It is not easy to predict the future of cryptocurrencies, since there is a lot to be done especially in the field of formal regulations. However, the banks and other financial institutions should see and consider cryptocurrencies as an alternative for the financial transactions in the future”.

Questions

1.     Explain early development, challenges and risks, opportunities, advantages and disadvantages, and the future of Crypto Currencies.

2.     What is Bitcoin and how does crypto currencies (bitcoin) work? Do you think this is an alternative for Currency in circulation?

3.     What are the biggest determinants of crypto currency prices?

4.     How does the aggregate demand and supply of crypto currency affect the Economy?

the corona virus pandemic is set to bring down the country's GDP growth from an all time high 8.15% recorded in Bangladesh in the last fiscal year to straight 1.6% this fiscal year according to world bank.The government though is holding out for an 8.2% growth next fiscal year.How do you incorporate your idea to manage this sky high target of GDP and modern monetary policy (of Quantity theory of money and Phillips curve)?

Explain why the statement is true or false; Affordable bundles for a consumer only include those bundles on or below the budget line itself.

International Political Economics

1. Explain and discuss evidence of globalization in the financial sector.

what is the difference between economic output and economic growth?

How to Calculate the inflation rate for a known year solution to an unknown year solution (2020–2021) period using the GDP deflator based on the Laspeyres, Paasche, and chain-weighted indexes of GDP..