1) The United States economy is growing at a faster rate than its trading partner United Kingdom. As a result, the rate of American inflation is increasing.

1A) Show and explain how the increase in inflation will affect the international value of the United States dollar and the value of the British pound. (Make sure you graph each, using the concepts of supply and demand and the cost of domestic goods in your explanation.)

1B) Explain how the changing value of the dollar will affect the United States' exports and imports. (Make sure you use the concepts of the cost of foreign and domestic goods in your explanation.)

2) The Federal Reserve decreases the money supply in the United States causing interest rates to increase.

2A) Explain how the change in interest rates will affect United States aggregate demand. (Make sure to include the determinant that causes the change in aggregate demand in your explanation.)

2B) Draw a correctly labeled graph of the foreign exchange market for the British pound, showing the effect of the increasing interest rate identified in the scenario on the value of the British pound relative to the U.S. dollar. (Make sure you use the concepts of supply and demand and financial capital in your explanation.)

Use the following table to answer the questions below.

Note that GDP numbers are presented in millions (add six zeros on to each of the reported numbers).

1. Calculate the GDP growth rate for each country between 2012 and 2013. Round to one decimal place.

US:

Mexico:

UK:

Kenya:

2. Calculate GDP per capital for each country in 2013. Round to the nearest whole number.

US:

Mexico:

UK:

Kenya:

3. Which country has the highest standard of living?

(Click to select)  Kenya  Mexico  United States  United Kingdom

4. Which country is growing the fastest?

Mexico,United States,Kenya or United Kingdom?

The renown experimental filmmaker James Incandenza has finally found a cure for boredom. His creation is known as the “The Entertainment.” Demand for The Entertainment in the United States is Qu = 100-P. Demand for The Entertainment in Canada is Qc = α100-P. The total cost of producing The Entertainment is C(Q) = 20Q. James Incandenza must decide whether to only sell The Entertainment in the United States or to sell it in both the United States and Canada. If James must charge the same price in both countries, what is smallest value of ↵ such that James will sell in both countries?

There were key similarities between the American economic crisis and the European crisis. As well as key differences.

Describe these similarities and differences. In your description of the similarities, explain key relationships between the causes of the crisis in the United States and the causes in Europe (for instance, how did the housing bubble contribute to the crises in both Europe and the United States? What were some of the key characteristics of the recessions in the United States and Europe? What were some of the key similarities in government policies and actions in response to the crisis? What are the three differences? Describe them.

The United States appears at times to have a totally schizophrenic attitude toward protectionism. The United States was the country that proposed the establishment of the World Trade Organization as early as the late 1940s, and was also the only industrialized country that refused to ratify this at that time. The United States has consistently argued on the side of multinational free trade in GATT Rounds, and yet maintains many protectionist laws such as those which reserve oil shipments from Alaska to U.S. flag carriers. How can you explain this apparent lack of national consistency on this issue?

Compare the disclosure requirements of the publicly traded company between the united states and the United Kingdom

What is lobbying, and what are the primary techniques that lobbyists use to influence policymakers? What are the best arguments for and against the influence that lobbying has on the political system in the United States? Finally, which types of organizations dominate interest group politics in the United States?

The demand for skilled workers in the United States has been increasing. To increase the supply of skilled workers, many argue that immigration reform to allow more skilled labor into the United States is needed. Explain whether you agree or disagree. Be thorough please.

In the United States, the degree of labor market protection has decreased significantly since 1970’s. Explain the effects of this trend on economic growth in the medium-run and long-run perspective (IS-LM, AS-AD). What are the implications for income inequality in the United States?

How does the income distribution in the United States compare with the income distribution in other nations? 9b. Examine, the degree of income inequality in our nation. 9c. Explain, why the gap in earnings between skilled and unskilled workers is growing in the United States.