Q. Assume a basket that costs $100 in the U.S. would cost $120 in the United Kingdom. (18 pts)

a) What is the U.S. real exchange rate, qUS/UK, with the United Kingdom? Intuitively, what does this real exchange rate imply? (5 pts)

b) Does PPP hold true here? Why? (5 pts)

c) Instead, let’s assume that a basket that costs $100 in the U.S. would cost also $100 in the United Kingdom. For the next year, the Fed is predicted to keep U.S. inflation at 2% and the Bank of England is predicted to keep U.K. inflation at 3%. Does PPP hold true here? If so, use relative PPP to predict what will happen to the dollar’s value against the poundin one year’s time. (8 pts)

In this writing assignment, you will research specific examples of executive orders (that is, U.S. presidential) orders issued in our nation's history.

Deliverables:

A 150-word (2-3 paragraph) paper

Step 1: Research and find three-five executive orders issued in U.S. history.

Through Internet research, locate and select 3-5 executive (that is, the U.S. presidential) orders issued in our nation's history.

Step 2: Write a short summary of your findings.

For each executive order you choose, prepare a written summary of the nature of the order, the name of the U.S. president who issued the order, and the year in which the order was issued. Finally, for each executive order you choose, prepare a written summary of your opinion as to whether the order represented a reasonable exercise of executive power.

Below are the U.S. box office gross sales for the first 6 weekends.

a. Determine the exponential regression equation that models the U.S. Box Office Gross (in millions), G, in terms of the number of weekends since it has been released, t. Write your answer in Q form here (round numbers to four decimal places)

G=()^t

b. Determine the decay rate. Report your answer as a percentage, rounded to two decimal places.

%

c. According to your model, what is the predicted U.S. box office gross sales in week 10? Report your answer in millions, rounded to two decimal places.

$ million

9a)A Japanese automaker manufactures cars in the United States. If these cars are sold to U.S. consumers, they will be counted in which of the following?

b)Which of the following is a nondurable consumption good?

c)The expenditure approach to computing GDP involves summing which of the following?

d)

Suppose that we wish to assess whether more than 60 percent of all U.S. households in a particular income class bought life insurance last year. That is, we wish to assess whether p, the proportion of all U.S. households in the income class that bought life insurance last year, exceeds .60. Assume that an insurance survey is based on 1,000 randomly selected U.S. households in the income class and that 640 of these households bought life insurance last year.

a)   Assuming that p equals .60 and the sample size is 1,000, what is the probability of observing a sample proportion that is at least .64?

b)  Based on your answer in part a, do you think more than 60 percent of all U.S. households in the income class bought life insurance last year? Explain.

Suppose that we wish to assess whether more than 60 percent of all U.S. households in a particular income class bought life insurance last year. That is, we wish to assess whether p, the proportion of all U.S. households in the income class that bought life insurance last year, exceeds .60. Assume that an insurance survey is based on 1,000 randomly selected U.S. households in the income class and that 640 of these households bought life insurance last year.

a)   Assuming that p equals .60 and the sample size is 1,000, what is the probability of observing a sample proportion that is at least .64?

b)  Based on your answer in part a, do you think more than 60 percent of all U.S. households in the income class bought life insurance last year? Explain.

Please show the Rstudio code used in markdown. thank you!

3. Hypothesis Testing on Two Proportions

The Organization for Economic Cooperation and Development (OECD) summarizes data on labor-force participation rates in a publication called OECD in Figures. Independent simple random samples were taken of 300 U.S. women and 250 Canadian women. Of the U.S. women, 215 were found to be in the labor force; of the Canadian women, 186 were found to be in the labor force.

1. a) Compute the sample proportions for the two samples.

2. b) At a 3% significance level, do the data suggest that there is a difference between the

labor-force participation rates of U.S. and Canadian women?

c) Find and interpret a 97% confidence interval for the difference between the labor-force participation rates of U.S. and Canadian women.

1. President Trump continues to engage in a “trade war” with China.

   1. (a) Briefly explain what it means to say we are engaged in a “trade war” with China and what outcome the U.S. is hoping to achieve.

   2. (b) Discuss the overall effects of the “trade war” on (i) U.S. firms, (ii) U.S. consumers, and (iii) net U.S. welfare. Be sure to make appropriate distinctions regarding different types of firms in the economy.

   3. (c) As an economic policy adviser to the President, would you support protectionist policies? Or, would you advocate for freer trade? Are there certain conditions or other policies that must be paired with free-trade deals before you would recommend supporting them? Briefly justify your answer using appropriate economic analysis. A well-justified answer should ac- knowledge arguments on both sides of the issue.

QUESTION 3 REQUIRED Use the information provided below to prepare the following for Electroman Limited for August and September 2020 (using separate monetary columns for each month):

3.1 Debtors Collection Schedule

3.2 Cash Budget. Note: Where applicable, round off amounts to the nearest Rand. INFORMATION Electroman Limited sells appliances.

The following forecasts were made:

1. The bank balance on 31 July 2020 is expected to be R50 000 (favourable).

2. Sixty percent (60%) of all sales are for cash; the balance is on credit. Credit sales for June and July 2020 are expected to be R320 000 and R360 000 respectively. Sales are expected to increase by 10% each month. Twenty percent (20%) of the credit sales are expected to be settled during the month of the sale for a discount of 5%. The remaining customers usually pay in the month after the sale.

3. All appliances are purchased on credit and the creditors are paid in the month after the purchase. Purchases are expected to be as follows: July R420 000 August R460 000 September R510 000

4. Salaries and wages are expected to cost R85 800 for September 2020, after a 10% increase takes effect on 01 September 2020.

5. Advertising expenses are expected to be 6% of the total monthly sales, and are paid one month later. 6. Equipment that cost R300 000 is expected to be purchased during August 2020.

6. A deposit of 10% will be paid in August and the balance plus finance charges of R20 000 is payable in 5 equal instalments commencing September 2020.

7. A long-term loan of R250 000 at 12% per annum interest is to be raised on 01 August 2020. Interest on loan and a loan repayment of R5 000 is payable monthly on the last day of each month, commencing 31 August 2020.

8. Other cash expenses are expected to amount to R80 000 for July 2020. These expenses are expected to increase by 5% each month.

9. An interim dividend of 8 cents per share is expected to be paid to shareholders on 31 August 2020. The issued share capital of Electroman Li

mited consists of 500 000 ordinary shares