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Comparative Advantage

Summarize a Protectionist Trade Policy

Who benefits from a tariff or quota? Who loses? What are the positives and negatives of protectionist trade policies on the federal government's part? Which policy is best right now

Theories of comparative advantage

2. How would each of the following theories of comparative advantage explain the fact that the United States exports computers? a. Productivity differences b. Factor abundance c. Human Skills d. Product life cycle e. Preferences 13. Suppose the world price of kiwi fruit is $20 per case and the U.S. equilibrium price wi

Barriers to entry, globalization, oligopoly pricing

1. Other than economies of scale, what would you consider to be barriers to entry into a market? Are these barriers the same for all market structures? Explain your response. 2. How does globalization lead to greater competition in the marketplace? 3. Describe three oligopoly pricing models: a. the kinked-demand

Practice Problems

An increase in the Federal minimum wage to $7.25 per hour from $5.15 per hour, assuming that $7.25 is an effective price floor and that all other things remain constant, will: a. reduce the number of unemployed. b. increase the number of unemployed. c. shift the supply of labor to the right. d. shift the demand of labor to

pros and cons of competing in global environment

What are the pros and cons of companies competing in the global environment and how this has affected the U.S. economy and the global economy? 200 words Firms are struggling to make a profit. Have you noticed more unethical behavior because of this? 200 words

buy domestic of foreign

When you purchase things, do you look to see if they are domestic, or do you not care about the country of origin? What are your views of trade restrictions such as tariffs or quotas?

Trade, comparative advantage discussion

Taking business personally: Would you have a higher consumption standard of living by self-sufficiently producing all the goods you and your family want to consume or by employing your labor time and/or entrepreneurship to their comparative advantage in the global market economy? Explain

comparative advantage on the production of a good

Evaluate the following statements: a) The extensive application of protective tariffs destroys the ability of the international market system to allocate resources efficiently. b) Foreign firms that "dump" their products onto the U.S. market are in effect providing bargains to the country's citizens. Thank you.

Financial Statement Analysis

Comparative statement data for Douglas Company and Maulder Company, two competitors, appear below. All balance sheet data are as of December 31, 2009, and December 31, 2008. Douglas Company Maulder Company 2009 2008 2009 2008 Net sales $1,549,035 $339,038 Cost of goods sold 1,080,490 241,000 Operating

Labor Market, Trade and Exchange Rates

Please answer the following, each part in approx. 400-500 words. THE LABOR MARKET (a) If standard microeconomic analysis could be applied to the labour market, then there would be no such thing as unemployment. (i) Explain why the above statement is true in theory (ii) Explain why the above statement has very limited re

Find the Opportunity Cost

As the French franc appreciates in value relative to the U.S. dollar, what happens to the price of U.S. goods in France? What happens to the price of French goods in the U.S.? Suppose the Canadian dollar (C$) price of one British pound is C$2.414. A hotel room in London costs 110 pounds, while a similar hotel room in Toronto

Interdependent Trade

Most countries are interdependent where trade is concern. We all depend on each other. Should America aim to be self sufficient in the production of goods and services, rather than depending on other countries for trade?

Determining gains from international trade

1.) Suppose that the United States can produce 500 million barrels of oil or 200 million pairs of tennis shoes a day. Egypt can produce 750 million barrels of oil or 300 million pairs of tennis shoes a day. If these are the only goods the countries produce, at what terms of trade would the United States and Egypt gain from tradi

10 short answer questions

Name... 1. Is Wal-Mart too big? Or should it be allowed to grow even bigger because of its benefits to us? Why? 2. Explain comparative advantage and why it is good for us. 3. Based on what you've learned in this class, and what you've seen happen, should the government have handled any of the big three auto manufactur

international trade ..

1.What is the gain for a nation that results from specialization in the production of products for which there is a comparative advantage? 2.Why do governments intervene in international trade and develop restrictive trade policies? Thanks

US production of Chevrolet, Japan production of Toyota

I have come across this type of scenario several times in college and in personal business ventures. Understanding these scenarios helps us understand a small piece of microeconomic strategy. Assume the US can produce Toyotas at the cost of $18,000 per car and Chevrolets at $16,000 per car. In Japan, Toyotas can be produced

comparative advantage problem

Given the following answer these questions: Alfazia: 2 units of corn = 3 units of cheese Radamia: 1 unit of corn = 2 units of cheese Uthania: 1 unit of corn = 1 unit of cheese Radamia: 2 DVD players = 3 watches Uthania: 1 DVD player = 2 watches Suntize: 2 DVD players = 5 watches 1.) For Rodamia, did you decide

International Economics

Question 1: You are a manufacturing company of brooms and mops. In order to cut cost, you are thinking about shifting production of some of the products to Mexico. Additional information is provided below. (assume no quality differences, zero transportation costs, etc) Products produced/ unit of labor Brooms Mops M

Financial Planning

As a manager of a financial planning business you have two financial planners, Phil and Francis. In an hour, Phil can produce either one financial statement or answer 8 phone calls, while Francis can either produce 2 financial statements or answer 10 phone calls. Does either person have an absolute advantage in producing both pr

Comparative/Absolute Advantage

Still remaining within the Ricardian framework, consider that Canada has 100 units of labor available for production while Mexico has 200 units of labor and both countries produce corn and wheat. Table B summarizes outputs of corn and wheat produced per hour of work in Mexico and Canada with labor (or, hours of work) as the only

Free Trade

What are the benefits of free trade? Who are the winners and losers when the government imposes tariffs and quotas?

Need help with multiple choice problems

1.) Positive economics: a. deals with subjective value judgments about "what ought to be." b. will make the economy positively better off. c. is the exact opposite of negative economics. d. deals with how the economy does in fact work. 2.) The opportunity cost of changing your decision on what to major in college is highe

Study Sheet Questions

1.Rational decision making means that: a. marginal benefits and marginal costs of a decision are always easy to measure. b. if the marginal benefit of the last unit of an activity exceeds its marginal cost, then more of that activity should be undertaken. c. one should keep doing an activity until the total benefits are maxim

Introduction to Macroeconomics:

The Reference organization is Walmart Please address the following questions: 1. Why do you think it will be interesting to focus in the economic ideas of Walmart? 2. How you think macro-economics applies to Walmart? What would it contribute to your understanding of this organization's prospects? 3. Pick two

Free trade Arguments Against Tariffs

Free trade initiatives argue against tariffs, quotas, and any other barriers to trade. The rush of imports from countries that have a comparative advantage, however, meets with resistance from domestic industries threatened by those imports. As a production manager who understands the academic argument for free trade working in

Macroeconomics

Please assist me with the following attachment. I have done research but need some clarification. Thank you for your assistance. Please complete in Word and submit an electronic copy. Part I. Essay - Provide an answer in the space in between the questions. 1. Suppose that the Bank of China wishes to peg the rate of