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suppose that xed costs for a rm in the automobile industry start-up costs of facto- ries capital equipment and so on
go back to the model with rm performance differences in a single integrated market now assume that a new technology
in the chapter we described a situation where dumping occurs between two symmetric countries briey describe how things
for each of the following specify whether the foreign direct investment is horizontal or vertical in addition describe
1 if there are internal economies of scale why would it ever make sense for a rm to produce the same good in more than
it is often argued that the existence of increasing returns is a source of conict between countries since each country
give two examples of products that are traded on international markets for which there are dynamic increasing returns
in our discussion of labor market pooling we stressed the advantages of having two rms in the same location if one rm
in the trade scenario in problem 1 due to overshing norway becomes unable to catch the quantity of sh that it could in
the counterpart to immobile factors on the supply side would be lack of substitution on the demand side imagine an
the internet has allowed for increased trade in services such as programming and technical support a development that
economic growth is just as likely to worsen a countrys terms of trade as it is to improve them why then do most
from an economic point of view india and china are somewhat similar both are huge low-wage countries probably with
suppose that country x subsidizes its exports and country y imposes a countervail- ing tariff that offsets the subsidys
the us labor movement-which mostly represents blue-collar workers rather than professionals and highly educated
recently computer programmers in developing countries such as india have begun doing work formerly done in the united
an economy can produce good 1 using labor and capital and good 2 using labor and land the total supply of labor is 100
the marginal product of labor curves corresponding to the production functions in problem 2 are as followsworkers
in home and foreign there are two factors each of production land and labor used to produce only one good the land
home has 1200 units of labor available it can produce two goods apples and bananas the unit labor requirement in apple
suppose that instead of 1200 workers home has 2400 find the equilibrium relative price what can you say about the
suppose that home has 2400 workers but they are only half as productive in both industries as we have been assuming
answer below questions saparately include references in endnbspprovide accurate solution with 2500 words countquestion
a anyone who has visited japan knows it is an incredibly expensive place although japanese workers earn about the same
explain briefly whether each of the following would cause gdp to overstate or understate the degree of change in the