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Five sentences or more per question.
1. Describe free trade and its impact on the global economy.
2. Describe demographic factors and how they affect the economy.
Microeconomics, Economics
Question: A car manufacturer is considering how many safety devices to install on a new car. The devices function independently and each one works with probability .9. Furthermore, they are connected "in parallel" so tha ...
Question: 1. Consider the Rothschild-Stiglitz adverse selection model that we discussed in the class. Suppose a competitive insurance company proposes an insurance policy that provides full insurance to all individuals, ...
Question: In 1914, Henry Ford increased the wage he paid workers in his car factory in Dearborn, Michigan to $5 per day. This wage was more than twice as much as other car manufacturers were paying. Ford was quoted as sa ...
Question: Suppose that households change their preferences so that they wish to consume more and save less in the current year. Since the households reduce savings, the interest rate in the economy increases. a. Show on ...
Question: In an effort to reduce energy costs, a major university has installed more efficient lights as well as automatic sensors that turn the lights off when no movement is present in a room. Historically, the cost of ...
Question: You just overheard your friend say the following: "Poor countries like Malawi have no absolute advantages. They have poor soil, low investments in formal education and hence low-skill workers, no capital, and n ...
Question: It costs a company $35,000 to produce 700 graphing calculators. The company's cost will be $35,070 if it produces an additional graphing calculator. The company is currently producing 700 graphing calculators. ...
Question: What could the government do to try and keep the economy from entering a recession because of the adverse supply shock? Depict this graphically. (Alternatively - what has to shift in response to a negative supp ...
Question: Given recent trends, what are the near-term prospects for the U.S. economy, and how simulative or restrictive do you expect economic policy (both monetary and fiscal) to be over (say) the next 12 months, and ho ...
Question: Do you think new economic policies should be created to make our current and future healthcare system more competitive? If so, what are the 2-3 areas in the U.S. healthcare delivery system that need to be more ...
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