Explain the so-called impossible trinity (also known as open economy trilemma). Using the diagram, discuss the policy alternatives of the monetary authority under different scenarios.
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Explain the financial account of the balance of payments. Discuss the benefits and harms of financial globalization taking also into account different types of financial flows and their implications.
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Explain moral hazard and give at least two examples. Discuss its implications as an informational asymmetry problem for financial crises
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Discuss the increase in income inequality observed in the U.S. over the last 40 years from the perspective of the Heckscher-Ohlin Model. Analyze the potential causes of this increase and provide graphical illustrations if applicable.
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What is conscious parallelism? Is this explicit or tacit collusion?
In: Economics
Explain the so-called impossible trinity (also known as open economy trilemma). Using the diagram, discuss the policy alternatives of the monetary authority under different scenarios
In: Economics
Explain the so-called impossible trinity (also known as open economy trilemma). Using the diagram, discuss the policy alternatives of the monetary authority under different scenarios.
In: Economics
Explain the financial account of the balance of payments. Discuss the benefits and harms of financial globalization taking also into account different types of financial flows and their implications.
In: Economics
What is most interesting about auctions, bid-rigging, and other pricing schemes when it comes to economics?
In: Economics
I gave a loan to an individual in kenya, which will enable her to buy more materials to boost and help with her business.
How does this specific loan advance 1 specific Sustainable Development Goals in kenya?
Rubric:
Justification (Sustainable Development Goals) for providing loan to individual is highly convincing and uses data collected very effectively to justify loan
In: Economics
econ question;
Explain how political systems are not always drivers of economic systems.
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Step 1: The first part of the instructions/rubric is to discuss a reason why contractionary policy should be used. What kind of things can happen in the economy to cause the Fed to need to use contractionary monetary policy? What kind of things would they look for to let them know that the economy is growing too fast and needs to slow down?
Step 2: The next part of the instructions is to explain how each of the three tools of the Fed (open market operations, changing interest rates, and changing reserve requirements) can be used to contract the money supply. It’s important here that when you are explaining them, you are specifically talking about how to use them to contract the money supply, not just how they could affect it. For example, for interest rates, you can’t just say “we can raise or lower them.” You need to explain which of those actually is contractionary.
Step 3: The last part has you explain why you choose the tool you chose, and why the other two options weren’t chosen.
If it would help make sure you are covering everything, you can break this down into a sort of checklist:
1. What would be happening in the economy to cause the Fed to believe that contractionary monetary policy is needed?
2. How can the Fed use Open Market Operations to contract the money supply?
3. How can the Fed use changing reserve requirements to contract the money supply?
4. How can the Fed use changing interest rates to contract the money supply?
5. Which tool have you chosen, why is that the best option, and why are the other two options worse than the one you chose?
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Problem 1.
A) Identify how protectionism influenced BREXIT. Be specific, give details.
B) Describe and explain the economic consequences in the areas of export, production, import, labor and investment of BREXIT. Be specific, give examples.
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(a)Suppose the market demand function for orchids (in pots) is given by Q=1400-30P. Now we rank the MB of each pot of orchids from the highest to the lowest, what is the MB of the 200th pot of orchids?
(b)Suppose the market supply function for orchids (in pots) is given by Q=40P-400. Now we rank the MC of each pot of orchids from the lowest to the highest what is the MC of the 200th pot of orchids?
In: Economics
Using the Yahoo! properties mentioned in Chapter 11- 11.2 section, evaluate a particular brand by using relevant keywords to see what comes up in a search. What did you find? Give examples. Are you surprised by what you saw?
In: Economics