Assess the arguments for and against taxing e-commerce at an international level as opposed to a domestic level.

1. Handsome Barbershop uses 12 workers, each working 8 hours, to cut hair for 192 heads. What is Handsome Barbershop's productivity?

Group of answer choices

96 heads per hour

24 heads per hour

2 heads per hour

16 heads per hour

2. The country of Venus does not trade with any other country. Its GDP is $17 billion. Its government purchases $5 billion worth of goods and services each year and collects $6 billion in taxes. Private saving in Venus is $5 billion. For Venus, investment is

Group of answer choices

$6 billion and consumption is $7 billion.

$6 billion and consumption is $6 billion.

$7 billion and consumption is $7 billion.

$7 billion and consumption is $6 billion.

3. Because of Coronavirus, the business community is pessimistic about the profitability of capital. Using the Market for Loanable Funds model, the equilibrium

Group of answer choices

interest rate and saving will fall

interest rate rises and saving falls.

saving falls and interest rate rises.

interest rate and saving will rise.

4. In the Market for Loanable Funds model, which of the following events would shift the savings curve to the right?

Group of answer choices

In response to tax reform, firms are encouraged to invest more than they previously invested.

In response to tax reform, households are encouraged to save more than they previously saved.

Government goes from running a balanced budget to running a budget deficit.

Any of the above events would shift the savings curve to the right.

5. If the reserve ratio is 8 percent, then the money multiplier is

Group of answer choices

2.5

12.5

0.08.

10.

6. If the reserve ratio is 20 percent, then $1,200 of additional deposits would ultimately generate

Group of answer choices

$24,000 of money.

$6,000 of money.

$60,000 of money.

$1,200 of money.

7. If Y and V are constant and M triples, the quantity theory of money equation implies that the price level

Group of answer choices

more than triples.

changes but less than triples.

triples.

does not change.

An agent chooses high or low effort on a project. If the agent exert's high effort, the project will succeed with prob. 0.96, but under low effort the prob. of success is only 0.74. The ex ante cost of high effort is $500 and the cost of low effort is $0. The agent will be paid $Z only if the project succeeds. What is the minimum Z necessary to persuade the agent to choose high effort?

Group of answer choices

$2,133

$2,273

$2,445

$2,544

An investor has wealth of $500 and a project that requires a $500 investment. If the investor choose Safe, the project yields revenue $580, but if the investor chooses Risky, the project yields revenue $660 with prob. 0.75 and revenue $0 otherwise. If the investor uses her own wealth, her final (expected) payoff from choosing Safe is ____ and from Risky it is ____.

Group of answer choices

$565; $522

$565; $495

$580; $522

$580; $495

Demonstrate the attempt to justify the free market in both utilitarian and rights-based (deontological) ethics. Do you think that either of these approaches (or perhaps both) effectively serves to justify a free market system in whole or in part? Give reasons for your answer.

32. The discounted present value of a payment is the value ___ of the payment ___.

a. today; made yesterday

b. tomorrow; made today        

c. today; made tomorrow

d. tomorrow; made yesterday

e. yesterday; made today

33. The term structure of interest rates:

a. represents the variation in yields for similar instruments differing only in maturity.

b. reflects differing tax treatment received by different instruments.

c. always results in an upward-sloping yield curve.

d. usually results in an inverted yield curve.

e. depends upon the payment terms of the security – whether coupons are paid out every six months versus every year.

34. When it comes to financial matters, the views of Aristotle can be stated as:

a. usury is nature’s way of helping each other.

b. the fact that money is barren makes it the ideal medium of exchange.

c. charging interest is immoral because money is not productive.

d. when you lend money, it grows more money.

e. interest is too high if it can’t be paid back.

35. Which of the following is true?

a. Early forms of interest arose from the lending of seeds and animals that could reproduce in order to pay off the interest.

b. Ancient Babylonians that lent silver were regulated in terms of how much interest they could charge.

c. In ancient India, temples served a banking function by issuing what we would today call a “bill of exchange.”

d. In England in the 1600s, money began to take the form of tradeable promissory notes.

e. All of the above.

36. The highest 30 year monthly mortgage rate of interest since 1971 was in:

a. August of 2011.

b. March of 2007.

c. July of 1991.

d. October of 1981.

e. May of 1985.

37. According to Louise Yamada, based on interest rate changes in America over the past two hundred years:

a. we should expect rates to have bottomed out in recent years and to rise for many years to come.

b. we have seen ten sharp downturns in interest rates over the many cycles since 1798.

c. interest rates will be falling by 3% to 5% over the next ten years.

d. higher interest rates signal the end of a bull market until they get up to about 5%.

e. None of the above.

38. Which of the following is false about Harvard professor Paul Schmelzing’s views and study of interest rates?

a. When interest rates change, they will rise only very slowly.

b. Most of the depressions in real interest rates for the past 700 years were due to wars and natural catastrophes.

c. His study included rates from Italy in the 14th and 15th centuries.

d. The real rate over the past 700 years has averaged under 5%.

e. The real rate over the past 200 years has averaged 2.6%.

41. During World War I, the marginal income tax rate (which began in 1913) on incomes over $750,000 was:

a. 1%.

b. 11%.

c. 25%.

d. 42%.

e. 76%.

5. What is the impact of costly investment on trade balance in the short run?
(a) It decreases trade balance.
(b) It increases trade balance.
(c) It may decrease or increase trade balance.
(d) It has no impact on trade balance.

6. What is the impact of costly investment on trade balance in the long run?
(a) It decreases trade balance.
(b) It increases trade balance.
(c) It may decrease or increase trade balance.
(d) It has no impact on trade balance.

7. What is the impact of costly investment on current account in the short run?
(a) It decreases current account.
(b) It increases current account.
(c) It may decrease or increase current account.
(d) It has no impact on current account.

8. What is the impact of costly investment on current account in the long run?
(a) It decreases current account.
(b) It increases current account.
(c) It may decrease or increase current account.
(d) It has no impact on current account.

Monetary policy refers to Federal Reserve actions to influence the money supply and economic conditions. Fiscal policy is spending and taxing by the government, which can also affect economic conditions. Describe how changes in spending and taxes can affect economic activities. (typing please,thank you.)

Case study 4 UPS in India - Time to shift gear

Provide a finding of fact for International Business

Provide a full justification and recommendation for each finding of fact

Two methods of maintenance for indefinite service life are being evaluated:

Method 1. The first cost would be $60,000, and $25,000 would be required at five-year intervals forever.

Method 2. The first cost would be $150,000, and $180,000 would be required at 50-year intervals of forever.

At I i = 12%, which method is the better one?

According to Theodore Moran, when do the greatest spillovers on the local economy occur?

Select one:

a. When there is an appropriate balance between multinational corporations and the state in productive decision-making

b. None of the choices given (above/below)

c. When the multinational corporation is free to make the productive decisions

d. When the UN is responsible for regulating productive decisions.

e. When the state is responsible for regulating productive decisions

provide an example(s) where advertising has positive benefits for consumers. Provide examples where advertising has negative effects. The Government has regulated certain advertising such as cigarettes and marketing to children. Should all advertising be regulated?

Using examples of goods or services you are familiar with, explain how does the knowledge of price elasticities helps these two entities to make pricing decisions.

(a) A very popular fried koay teow seller in Penang. (400 words)

(b) A fashion boutique. (400 words)

A newly issued bond pays its coupons once annually. Its coupon rate is 8.5%, its maturity is 20 years, and its yield to maturity is 10.5%.

a. Find the holding-period return for a 1-year investment period if the bond is selling at a yield to maturity of 9.5% by the end of the year. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

b. If you sell the bond after one year, what taxes will you owe if the tax rate on interest income is 40% and the tax rate on capital gains income is 30%? The bond is subject to original-issue discount tax treatment. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

c. What is the after-tax holding-period return on the bond? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

d. Find the realized compound yield before taxes for a 2-year holding period, assuming that (1) you sell the bond after two years, (2) the bond yield is 9.5% at the end of the second year, and (3) the coupon can be reinvested for one year at a 3% interest rate. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

e. Use the tax rates in (b) above to compute the after-tax 2-year realized compound yield. Remember to take account of OID tax rules. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Explain the impact of the national debt on capital markets and future living standards. What are the consequences of the vastly increased foreign holdings of US debt? What are the consequences if the debt is paid off?