The outflow of FDI in Q3 of 2020 was RM0.8billion.
This outflow of funds can have a significant impact on the long-term competitiveness of a country. FDI can provide a source of capital for businesses, which can lead to increased investment, higher productivity, and economic growth.
Furthermore, FDI can increase access to foreign markets, technology, and expertise, which can further increase a country's competitiveness.
Finally, FDI can lead to increased employment opportunities and improved infrastructure, further helping to increase the long-term competitiveness of a country.
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answer questions. nalyze the present situation of women in Nepalese societies and suggest any ur measures to improve the situation in the future
Improving the situation of women in Nepal will require a concerted effort by the government, civil society, and the private sector.
What is the Situation of Women in Nepal?The present situation of women in Nepalese society is complex and multifaceted. While there have been significant strides made in recent years, women continue to face various forms of discrimination, including economic, social, and political inequality. Here are some of the key issues:
Education: In Nepal, girls have lower enrollment rates and higher dropout rates compared to boys. This is due to various factors such as poverty, early marriage, and cultural norms that prioritize boys' education over girls.Economic Empowerment: Women in Nepal face significant economic barriers, including limited access to resources, low-paying jobs, and fewer opportunities for professional advancement.Violence Against Women: Nepal has a high rate of violence against women, including domestic violence, sexual assault, and human trafficking.Political Representation: Although Nepal has made some strides in women's political representation, women are still significantly underrepresented in political office.To improve the situation of women in Nepal, here are some measures that can be taken:
Education: The government should take measures to ensure equal access to education for girls and boys. This includes building schools in rural areas, providing scholarships for girls, and implementing policies that encourage girls to stay in school.Economic Empowerment: Women need access to resources such as credit, land, and training to start and run businesses. The government should prioritize policies that promote women's economic empowerment, such as quotas for women in leadership positions and equal pay policies.Violence Against Women: The government should strengthen laws and policies that protect women from violence, and ensure that perpetrators are held accountable. This includes providing resources for women who experience violence, such as counseling and legal aid.Political Representation: The government should implement quotas for women in political office and ensure that women have equal opportunities to run for office. Additionally, there should be efforts to promote women's leadership in civil society and community organizations.Learn more about Nepal here: https://brainly.com/question/25791015
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11. 5 Election of 1796 webquest: Views of Adams vs. Jefferson
The election of 1796 pitted the Federalist candidate, John Adams, against the Democratic-Republican candidate, Thomas Jefferson.
Adams was a strong advocate for a strong central government and a strong military. He also supported a national bank, and a mercantilist economic system that protected American manufacturers and merchants.
Jefferson, on the other hand, advocated for a limited federal government and minimal federal involvement in the economy. He was also a proponent of states’ rights, agrarianism, and a laissez-faire economic system. Ultimately, Adams won the election, but Jefferson won the popular vote.
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Members of which economic alliance can live, work, even vote in any member nation?
The European Union is a political-economic union made up of 28 countries, most of which are in Europe. Any member nation is open to living, working, and even voting for EU economic alliance members.
Who is the European Union?The European Union (EU) is a political and economic supranational organization made up of 27 countries, most of which are in Europe. The union has an estimated population of nearly 447 million people and a total area of 4,233,255.3 km2 (1,634,469.0 sq mi). The European Union (EU) has frequently been referred to as a unique political entity that combines the characteristics of both a federation and a confederation without precedent or comparison.
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Discuss two ways in which you could deal t effectively with anxiety during an examination session
CASE STUDY 2: Arragon Antennas 20 mins
Arragon Antennas Ltd is a company based in the country of Dragovia. It designs and manufactures antennas for airborne navigation and communication systems. The industry is characterized by dedication to high technical standards because of the demands of aircraft safety. There are three main parts to the business: design and integration of antennas for new aircraft; aftermarket spares for existing systems; and sub-contract manufacture of other firms' designs. Design of new installations is highly technical and very time consuming since it depends on extensive tests, including test flying. Globally, there are only three other manufacturers capable of this work. The aftermarket operation includes spares for Arragon's own products and for antennas the company has designed to replace the other three manufacturers' own proprietary designs. Sales of the latter are somewhat price sensitive, but the aircraft spares market generally is characterized by the high prices charged to captive customers for approved spares.
Demand for subcontracting work tends to be intermittent but forms a profitable supplement to the manufacture of the company's own designs. Nobody in the industry thinks it odd that Arragon should both manufacture for and compete with other firms. Arragon's market is now being threatened by Wizzomatic Inc, which is a subsidiary of a major armaments group based in the larger country of Erewhon. Wizzomatic is offering a family of standardized antennas derived from its work for the Erewhon government. The antennas offer a substantial price advantage over most proprietary designs and are being promoted as suitable for most applications.
Required
(a) Assess the strategic options available to Arragon Antennas.
(b) Suggest an appropriate marketing mix for Arragon Antennas.
(a) The strategic options available to Arragon Antennas are focusing on their niche market, increasing their aftermarket spares business, expanding their subcontracting work, developing new and innovative products, forming strategic partnerships or alliances, and diversifying. (b) An appropriate marketing mix include offering a range of high-quality products, setting competitive prices, targeting new markets, investing in marketing, hiring and retaining highly skilled and experienced staff, streamlining and improving their process, and providing customers with tangible evidence of their products and services.
(a) Strategic options:1. Focusing on their niche market of designing and integrating antennas for new aircraft, as there are only three other manufacturers capable of this work.
2. Increasing their aftermarket spares business by offering competitive pricing and targeting captive customers who need approved spares.
3. Expanding their subcontracting work to supplement their own design and manufacturing business.
4. Developing new, innovative products to compete with Wizzomatic's standardized antennas.
5. Forming strategic partnerships or alliances with other companies in the industry to strengthen their market position.
6. Diversifying their business into other areas, such as providing maintenance and repair services for antennas.
Marketing mix:1. Product: Offering a range of high-quality, technically advanced antennas for different applications, including new installations, aftermarket spares, and subcontracting work.
2. Price: Setting competitive prices for their products, especially in the aftermarket spares market, to attract and retain customers.
3. Place: Expanding their global reach by targeting new markets and forming partnerships with other companies in the industry.
4. Promotion: Investing in marketing and advertising to increase brand awareness and promote their products and services.
5. People: Hiring and retaining highly skilled and experienced staff to ensure high technical standards and excellent customer service.
6. Process: Streamlining and improving their design, manufacturing, and delivery processes to increase efficiency and reduce costs.
7. Physical evidence: Providing customers with tangible evidence of their products and services, such as product brochures, case studies, and testimonials.
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Write an article on the positive and negative effects of remittance in Nepal.
To write an article on the positive and negative effects of remittances in Nepal, you must first do structured research on the topic in reliable sources.
How to write a good article?After collecting data and evidence from sources such as books, articles and documents, you must organize your ideas for logical and objective explanation in your text, with a focus on providing important details that help to engage the reader with your text.
Then you can explain in your article the positive and negative effects of remittances in Nepal, such as economic growth, poverty reduction, social impacts and increased reliance on remittances.
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Suppose when Sweetland (a hypothetical country) opens to trade, it imports computer software, a capital-intensive good.
a. According to the Heckscher–Ohlin theorem, is Sweetland capital-abundant or labor-abundant? Briefly explain. (1 mark)
b. What is the impact of opening trade on the real wage in Sweetland? Briefly explain. (2 marks)
c. What is the impact of opening trade on the real rental on capital? Briefly explain. (2 marks).
d. Which group (capital owner o
a. Sweetland is considered capital-abundant according to the Heckscher–Ohlin theorem because it imports a capital-intensive good.
b. Opening trade in Sweetland will likely increase the real wage due to increased demand for labor in the production of the goods Sweetland exports, such as labor-intensive goods.
c. Opening trade in Sweetland will likely decrease the real rental on capital due to increased competition in the market, as more capital flows into the country.
d. Capital owners in Sweetland may benefit from opening trade as their capital gains access to larger markets, but workers may face competition from cheaper labor in other countries.
The Heckscher-Ohlin theorem predicts that countries will export goods that use their abundant factors of production and import goods that use their scarce factors. Since Sweetland imports a capital-intensive good, it is likely capital-abundant and labor-scarce. Opening trade will lead to an increase in demand for Sweetland's labor-intensive goods, leading to an increase in the real wage.
However, the increase in competition from imported capital may lead to a decrease in the real rental on capital. The impact on different groups, such as capital owners and workers, will depend on the relative bargaining power and flexibility of their wages and rents.
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Describe one cause of the event you have chosen for your historical analysis (keeping in mind that there are many), and explain one piece of evidence from your research that you will use to support this assertion. Describe one consequence of the event, and explain one piece of evidence from your research that you will use to support this assertion. Indian removal
One cause of the Indian Removal Act of 1830 was the expansion of white settlers into Native American lands in the southeastern United States.
What is historical analysis?Historical analysis is the systematic and critical examination of past events, individuals, or phenomena in order to comprehend their causes, effects, and significance.
The expansion of white settlers into Native American lands in the southeastern United States was one of the causes of the Indian Removal Act of 1830.
The discovery of gold in Georgia in 1828 fueled this land rush, as more settlers flocked to the area in search of riches.
Thus, the Cherokee Nation was forcibly removed from their ancestral lands by the state of Georgia, and the federal government, under pressure from white settlers, passed the Indian Removal Act to force Native American tribes to relocate westward.
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Find all the pure and mixed strategy Nash equilibria to the following games with wNM preferences. Show your work.
1\2 L R
U 2.3 2.5
R 1.4 1.2
The Nash equilibria for this game with wNM preferences are (U, R).
In order to find the Nash equilibria for the given game with wNM preferences, we need to examine each player's best responses and look for any strategies that are mutually best responses.
First, let's examine Player 1's best responses:
- If Player 2 chooses L, Player 1's best response is U (since 2.3 > 1.4).
- If Player 2 chooses R, Player 1's best response is U (since 2.5 > 1.2).
Now, let's examine Player 2's best responses:
- If Player 1 chooses U, Player 2's best response is R (since 2.5 > 2.3).
- If Player 1 chooses R, Player 2's best response is L (since 1.4 > 1.2).
From these best responses, we can see that there is one pure strategy Nash equilibrium: (U, R). This is because both players are choosing their best responses given the other player's choice.
There are no mixed strategy Nash equilibria for this game. This is because there are no probabilities of choosing L or R for either player that would make the other player indifferent between their two strategies. Therefore, there are no mixed strategy Nash equilibria for this game.
So, the only Nash equilibrium for this game with wNM preferences is the pure strategy Nash equilibrium (U, R).
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Answer the question using concepts you have learnt and apply the best examples from real life:
What does the economic environment consist of as far as marketers are concerned, and why is it so important for them? (AACSB: Communication; Reflective Thinking)
Your answer should be an average of of 300 words
The economic environment refers to the conditions and forces that affect the cost and availability of goods, services, and labor, which in turn influence the behavior of buyers and sellers.
As far as marketers are concerned, the economic environment consists of various factors such as income levels, employment rates, inflation, interest rates, and consumer spending habits. These factors play a crucial role in shaping the marketing strategies of businesses.
One of the most important aspects of the economic environment for marketers is income levels. The level of income of consumers determines their purchasing power and affects their spending habits. For example, if the income levels are high, consumers are more likely to spend on luxury goods and services.
On the other hand, if the income levels are low, consumers are more likely to spend on necessities and are less likely to spend on luxury goods and services. Marketers need to understand the income levels of their target market in order to develop appropriate marketing strategies and price their products accordingly.
Employment rates also play a crucial role in the economic environment. When employment rates are high, consumers have more disposable income and are more likely to spend on goods and services.
Conversely, when employment rates are low, consumers have less disposable income and are less likely to spend on goods and services. Marketers need to take into account the employment rates of their target market in order to develop effective marketing strategies.
Inflation and interest rates also affect the economic environment. When inflation is high, the prices of goods and services increase, which affects the purchasing power of consumers.
Similarly, when interest rates are high, consumers are less likely to borrow money to make purchases, which affects the demand for goods and services. Marketers need to be aware of the inflation and interest rates in order to develop appropriate pricing and promotional strategies.
Consumer spending habits are another important aspect of the economic environment. Marketers need to understand the spending habits of their target market in order to develop effective marketing strategies.
For example, if consumers are more likely to spend on experiences rather than material goods, marketers need to develop marketing strategies that focus on experiences rather than material goods.
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Which river begins at the southern end of the sea of Galilee and flows south until t reaches the dead sea
The Jordan River is a long waterway that originates in the Middle East and runs north to south through the Sea of Galilee to the Dead Sea. The Jordan River is the primary source of water for the Sea of Galilee. Other creeks and wadis (seasonal watercourses) from the Galilee highlands run into the lake. Many mineral deposits can be found in the lake's connected rivers and at the lake's floor. The Sea of Galilee, also known as Lake Tiberias, Arabic Buayrat abary, and Hebrew Yam Kinneret, is an Israeli lake through which the Jordan River runs. It is well-known for its scriptural connections; its Old Testament name was Sea of Chinnereth, and it was subsequently renamed Lake of Gennesaret. Jordan River ValleyJordan River ValleyIt can be found in the lake's waterways and at the lake's floor. The river originates on the slopes of Mount Hermon near the Syrian-Lebanese boundary and runs south through northern Israel to the Sea of Galilee (Lake Tiberius).
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If this trend continues, what will be the average price of a home in Year 7?
Year 7 saw a $205,000 national Average Price for property prices. Suppose this pattern persists Finding an index gauge of the typical price levels inside a market is possible by using the market average.
What Does the Mean Average Price?The Average Price of a commodity and security as seen over a certain length of time is its average price. It is determined by finding the closing price average over a given time period using simple maths.
How much do I typically buy?By the entire number of shares purchased, divide the overall investment amount. The amount invested divided by the number of shares purchased at each purchase will yield the average purchase price for every investment. Voila! Now that you hold a position in stocks, you know what the average purchase price was.
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The correct question is
If this trend continues, what will be the average price of
a home in Year 7?
$195,000
$205,000
$295,000
$305,000
Using the IS-LM-FE model of a closed economy, explain the effect
of a decline in the nominal money supply on GDP, the real interest
rate, and the price level.
Using the IS-LM-FE model of a closed economy when the nominal money supply declines, GDP decreases, the real interest rate increases and the price level decreases.
The IS-LM-FE model of a closed economy is a macroeconomic model that is used to analyze the relationship between the nominal money supply, GDP, the real interest rate, and the price level. When there is a decline in the nominal money supply, there are several effects on the economy.
First, a decline in the nominal money supply will lead to a decrease in GDP. This is because when there is less money in the economy, people have less money to spend on goods and services, leading to a decrease in demand and a decrease in production.
Second, a decline in the nominal money supply will lead to an increase in the real interest rate. This is because when there is less money in the economy, the demand for money increases, leading to an increase in the interest rate.
Finally, a decline in the nominal money supply will lead to a decrease in the price level. This is because when there is less money in the economy, there is less demand for goods and services, leading to a decrease in prices.
Overall, a decline in the nominal money supply will lead to a decrease in GDP, an increase in the real interest rate, and a decrease in the price level.
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RIGHT ANSWER GETS 35 POINTS AND BRAINLIEST, ITS NOT A.
Read the following passage and answer the question.
Becket, now the Archbishop of Canterbury, refused to obey. The re-establishment of friendly relations failed and Becket punished priests who had cooperated with Henry. Upon hearing this news, Henry reportedly exclaimed, "Will no one rid me of this turbulent priest?" Four knights took Henry at his word and murdered Becket in Canterbury Cathedral, pictured above, in December 1170.
Which statement interprets the primary reason behind the events described in this passage?
a
Becket punished priests who had cooperated with Henry
b
King Henry believed the church was becoming too powerful
c
King Henry wanted to be able to tax the church
d
King Henry wanted legal control over the church but the Archbishop refused
Answer:
King Henry wanted legal control over the church but the Archbishop refused
Explanation:
He wanted to control the church as not even the pope would agree to annul his marriage... Thats why he established the Church of England
What do you understand by economies of scope? What
property/properties should a cost function satisfy in order for the
firm to experience economies of scope?
Economies of scope are a concept in economics that refers to the cost advantages that a firm can experience by producing a variety of products or services. The idea is that by diversifying its product or service offerings, a firm can reduce its overall costs and increase efficiency.
In order for a firm to experience economies of scope, its cost function should satisfy the following properties:
1. Subadditivity: The cost of producing two or more products or services together should be less than the sum of the costs of producing each product or service separately.
2. Convexity: The cost function should be convex, meaning that the marginal cost of producing an additional unit of a product or service should increase as the quantity produced increases.
3. Continuity: The cost function should be continuous, meaning that small changes in the quantity of a product or service produced should result in small changes in cost.
By satisfying these properties, a firm can take advantage of economies of scope and reduce its overall costs, allowing it to be more competitive in the market.
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Take the role of James Oglethorpe. Write a letter to the king asking for a charter for a
colony. Explain why you are founding Georgia and how it might benefit England. Please it’s due today!!!
The British wanted Georgia as a buffer zone to protect South Carolina and its other southern colonies against incursions from Florida by the Spanish, Britain's greatest rival for North American territory.
Who is James Oglethorpe?James Edward Oglethorpe was the founder of the colony of Georgia. also, he was a British soldier, Member of Parliament, and philanthropist.
The letter will be written as:
King, I need your assistance in drafting a charter to establish a new colony. Georgia colony is another name for it. I agree that I should establish this new colony so that inmates who were overburdened with debt can work their way out of the British jail system and begin fresh. England will profit from this.
Because of the significant expansion of borders. This demonstrates how the establishment of Georgia will benefit those in need. Also, it will help England since the borders will grow significantly as a result of people wanting the employees and the land to work for them so they can make money. As others saw that these folks were making money, they wanted a chance to do the same.
Therefore, The British wanted Georgia as a buffer zone to protect South Carolina.
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Question 6: Viet Tien Garment Company uses cotton fabric to produce men's shirts for export, other factors remaining unchanged, if the price of cotton fabric increases, it will cause:
a. Supply of polyester fabric (substitute for cotton fabric) increased
b. Demand for cotton fabric increases
c. Supply of men's shirts for export increased
d. Supply of men's shirts for export decreased
Question 7: Corn is a low-grade commodity if: a. An increase in the price of corn will decrease the quantity demanded of corn b. An increase in income will reduce the demand for corn c. An increase in income will increase the demand for corn d. Disobeying the law of demand
6: Viet Tien Garment Company uses cotton fabric to produce men's shirts for export, other factors remaining unchanged if the price of the cotton fabric increases d. Supply of men's shirts for export decreased.
7. Corn is a low-grade commodity if b. An increase in income will reduce the demand for corn.
6. If the price of cotton fabric increases, it will cause the cost of production for Viet Tien Garment Company to increase, which will lead to a decrease in the supply of men's shirts for export.
7. Corn is a low-grade commodity, which means that it is an inferior good. When people have more income, they tend to buy less of inferior goods and more normal goods. Therefore, an increase in income will reduce the demand for corn.
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Define True or False and explain why:
a. The $15,000 spent by a furniture firm in replenishing their inventories is not counted in GDP since it is neither consumption, nor investment, nor government expenditures.
b. The income of foreigners working in Vietnam is counted in Vietnam’s GNP as long as those foreigners work for a Vietnamese company.
c. Final sales of $10,000 worth of cocaine are counted in the GDP calculations because its production involved the 4 factors of production.
a. The statement is False because the expenditure on inventory replenishment is not counted in GDP
b. The statement is True because The income earned by foreigners working in Vietnam is not counted in Vietnam’s GNP.
c.The statement is False because the value of the final sales of illegal goods is not included in the GDP calculations
a.False. The $15,000 spent by a furniture firm in replenishing their inventories is counted in GDP as an investment. This is because the firm is using the money to purchase goods that will be used in the production of future goods and services.
b.True. The income of foreigners working in Vietnam is counted in Vietnam's GNP as long as those foreigners work for a Vietnamese company. This is because GNP measures the value of all goods and services produced by a country's residents, regardless of where they are located.
c.False. Final sales of $10,000 worth of cocaine are not counted in the GDP calculations because illegal activities are not included in GDP. GDP measures the value of all legal goods and services produced within a country.
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Chapter 26: The Exchange Rate and the Balance of Payments
a) Give an example of currency depreciation and appreciation. (5 pts)
b) What are the three balance of payments accounts? Briefly describe them. What is the relationship among the three? (5 pts)
c) What are the main components of the current account? What has been the recent U.S. experience with these items? (5 pts)
d) The table above gives some of the accounts of the United States in 2023. (5 pts)
Item
Amount
(billions of dollars)
Investment
1,900
Saving
1,600
Government expenditure
1,000
Net taxes
1,700
i) What is the private sector balance?
ii) What is the government sector balance?
iii) What is net exports?
The private sector balance is the difference between investment and saving is 300 billion dollars.
Currency depreciation occurs when the value of a country's currency decreases in comparison to other currencies. For example, if the exchange rate between the US dollar and the Euro was previously 1 USD = 0.8 EUR, but then changes to 1 USD = 0.7 EUR, the US dollar has depreciated in value. Currency appreciation, on the other hand, occurs when the value of a country's currency increases in comparison to other currencies. For example, if the exchange rate between the US dollar and the Euro was previously 1 USD = 0.8 EUR, but then changes to 1 USD = 0.9 EUR, the US dollar has appreciated in value.
The three balance of payments accounts are the current account, the capital account, and the financial account. The current account includes transactions related to trade in goods and services, as well as income from investments and transfers. The capital account includes transactions related to the sale and purchase of non-financial assets, such as land and buildings. The financial account includes transactions related to the sale and purchase of financial assets, such as stocks and bonds. The relationship among the three accounts is that they must all balance out to zero, meaning that any surplus in one account must be offset by a deficit in another account.
The main components of the current account are the trade balance (exports minus imports of goods and services), the income balance (income from investments and transfers), and the transfer balance (transfers of money between countries). The recent US experience with these items has been a consistent trade deficit, meaning that the US imports more goods and services than it exports. The US also typically has a surplus in the income balance, due to a large amount of foreign investment in the US. The transfer balance is usually a deficit, as the US sends more money abroad in the form of foreign aid and remittances than it receives.
The private sector balance is the difference between investment and saving, or 1,900 - 1,600 = 300 billion dollars.
ii) The government sector balance is the difference between government expenditure and net taxes, or 1,000 - 1,700 = -700 billion dollars.
iii) Net exports is the difference between the private sector balance and the government sector balance, or 300 - (-700) = 1,000 billion dollars.
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2. When MPC (marginal propensity to consume) increases and investment decreases, goods market
equilibrium output increases.
3. When disposable income equals zero, consumption equals zero.
4. The multiplier is greater than 1 if T = 0 and G = 0.
Answer True, false or uncertain. Explain
2.When MPC (marginal propensity to consume) increases and investment decreases, goods market equilibrium output increases.(FALSE)
3.When disposable income equals zero, consumption equals zero.(FALSE)
4 . The multiplier is greater than 1 if T = 0 and G = 0.( TRUE)
Determine true or false2. False. When MPC increases, it means that people are more likely to spend their additional income on consumption rather than saving. However, when investment decreases, it means that businesses are less likely to invest in new projects and expand production. This will lead to a decrease in the goods market equilibrium output, not an increase.
3. False. Consumption does not necessarily equal zero when disposable income is zero. This is because people can still consume goods and services even when they have no disposable income by using their savings or borrowing money.
4. True. The multiplier is the ratio of the change in equilibrium output to the change in autonomous spending. When T (taxes) and G (government spending) are both equal to zero, the multiplier is greater than 1 because there are no leakages in the economy.
This means that all of the additional income generated from an increase in autonomous spending will be spent on consumption, leading to a larger increase in equilibrium output.
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You have been appointed policy advisor of the country Economia. The country is an open economy, has a floating exchange rate regime and uses the Econ as its currency.
3. (30 marks) Strong economic activity in Economia causes an increase in money demand.
a. Use the money market and FX market diagrams to illustrate the short-run and the long-run effects of the increase in money demand, assuming that it is temporary and lasts between time T and T+5. (7 marks)
b. Use the money market and FX market diagrams to illustrate the short-run and the long-run effects of the increase in money demand, assuming that it is permanent. (7 marks)
c. With time on the horizontal axis, show how a temporary and a permanent increase in money demand affect the nominal 6QQMN969 3 interest rate, real money balances, the price level and the exchange rate (????????co????/????). (7 marks)
d. Does a permanent increase in money demand lead to exchange rate overshooting? What if the shock is temporary? Explain. (9 marks)
a.) b.) In the short run, the increase in money demand will cause an increase in interest rates and a decrease in real money balances.
c.) They will lead to an increase in the nominal interest rate, a decrease in real money balances, and an appreciation of the Econ
d.) A permanent increase in money demand can lead to exchange rate overshooting if the increase in the price level is larger than the increase in the nominal interest rate.
A. This will lead to an appreciation of the Econ in the foreign exchange market. In the long run, the increase in money demand will lead to an increase in the price level and a decrease in real money balances. This will lead to a depreciation of the Econ in the foreign exchange market.
B. This will lead to an appreciation of the Econ in the foreign exchange market. In the long run, the increase in money demand will lead to an increase in the price level and a decrease in real money balances. This will lead to a depreciation of the Econ in the foreign exchange market. However, because the increase in money demand is permanent, the depreciation of the Econ will be larger than in the case of a temporary increase in money demand.
C. In the long run, the temporary increase in money demand will lead to an increase in the price level, a decrease in real money balances, and a depreciation of the Econ. A permanent increase in money demand will have the same effects in the short run, but in the long run, the increase in the price level and the depreciation of the Econ will be larger.
D. This can occur if the central bank is slow to respond to the increase in money demand or if there are other factors that are causing the price level to increase. A temporary increase in money demand is less likely to lead to exchange rate overshooting because the increase in the price level will be smaller and the increase in the nominal interest rate will be larger.
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E. 14.5Standardizing a Normally Distributed Random Variable.
6. X~N(50, 576). Solve for P(X>56).
A. 0.25
B. 0.75
C. 0.4013
D. 0.5987
E. 0.1974
F. None of these
7. X~N(1500; 22,500). Solve for P(1200
A. P(-1
B. P(1
C. P(-2
D. P(-2
E. None of these
8. X~N(25, 36). What value of X is such that only 4% of values are below it?
A. 39.5
B. -10.5
C. -1.75
D. 1.75
F. None of these
6. P(X>56) is equal to C. 0.4013.
7. P(1200 ) is equal to C. P(-2)
8. The value of X is such that only 4% of values are below it is B. -10.5.
6. To solve for P(X>56), we first need to standardize the random variable X by subtracting the mean and dividing by the standard deviation:
Z = (X - 50) / sqrt(576) = (X - 50) / 24
Now we can plug in the value of X = 56 to find the corresponding Z-score:
Z = (56 - 50) / 24 = 0.25
Using a standard normal table or calculator, we can find the probability of Z > 0.25:
P(Z > 0.25) = 0.4013
Therefore, the correct answer is C. 0.4013.
7. To solve for P(X < 1200), we first need to standardize the random variable X by subtracting the mean and dividing by the standard deviation:
Z = (X - 1500) / sqrt(22,500) = (X - 1500) / 150
Now we can plug in the value of X = 1200 to find the corresponding Z-score:
Z = (1200 - 1500) / 150 = -2
Using a standard normal table or calculator, we can find the probability of Z < -2:
P(Z < -2) = 0.0228
Therefore, the correct answer is C. P(-2).
8. To find the value of X that corresponds to only 4% of values below it, we first need to find the Z-score that corresponds to a probability of 0.04 using a standard normal table or calculator:
Z = -1.75
Now we can use the formula for standardizing a random variable to solve for X:
X = Z * sqrt(36) + 25 = -1.75 * 6 + 25 = 14.5
Therefore, the correct answer is B. -10.5.
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Using the 3-equation model provide a detailed period by period description of the
adjustment process for the following scenarios:
(a) The economy is hit by a temporary inflationary shock (b) The economy is hit by a permanent positive aggregate demand shock
The 3-equation model is a macroeconomic model that consists of three equations, which are the IS curve, the Phillips curve, and the monetary policy rule. The model is used to analyze the effects of shocks on the economy and how the economy adjusts to these shocks.
(a) When the economy is hit by a temporary inflationary shock, the following adjustment process occurs:
Period 1: The inflationary shock causes an increase in inflation, which shifts the Phillips curve upward. This leads to an increase in the interest rate, as the central bank follows the monetary policy rule to raise the interest rate in response to higher inflation.
The higher interest rate reduces investment and consumption, causing a decrease in aggregate demand and output.
Period 2: The decrease in aggregate demand and output leads to a decrease in inflation, which shifts the Phillips curve back down. The central bank responds by lowering the interest rate, which stimulates investment and consumption, causing an increase in aggregate demand and output.
Period 3: The economy returns to its initial equilibrium, with the IS curve, Phillips curve, and monetary policy rule all intersecting at the same point.
(b) When the economy is hit by a permanent positive aggregate demand shock, the following adjustment process occurs:
Period 1: The positive aggregate demand shock causes an increase in output and inflation, which shifts the Phillips curve upward. The central bank responds by raising the interest rate, which reduces investment and consumption, causing a decrease in aggregate demand and output.
Period 2: The decrease in aggregate demand and output leads to a decrease in inflation, which shifts the Phillips curve back down.
However, the positive aggregate demand shock is permanent, so the IS curve remains shifted to the right. The central bank responds by lowering the interest rate, which stimulates investment and consumption, causing an increase in aggregate demand and output.
Period 3: The economy reaches a new equilibrium, with a higher level of output and inflation, and a higher interest rate. The IS curve, Phillips curve, and monetary policy rule all intersect at a new point.
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Given the demand and supply system:
Pb = 53 - 5 Qb & Pv = 3 + 2 Qv
With a specific tax of T^ = 4 , how much tax revenue is generated ?
12: Given the demand and supply system:
Pb = 53 - 5 Qb & Pv = 3 + 2 Qv
With a specific tax of T^ = 4 , how much dwl is generated ?
Based on the demand and supply system, the tax revenue generated is 28.57 and the deadweight loss (DWL) generated is 1.14.
Given the demand and supply system:
Pb = 53 - 5 Qb & Pv = 3 + 2 Qv
With a specific tax of T^ = 4 , the tax revenue generated can be calculated using the formula:
Tax Revenue = Tax Rate × Quantity
We need to find the equilibrium quantity for both the demand and supply equations. We can do this by setting the equations equal to each other and solving for Q:
53 - 5 Qb = 3 + 2 Qv
50 = 7 Q
Q = 50/7
The tax revenue generated is then:
Tax Revenue = 4 × (50/7)
Tax Revenue = 200/7
Tax Revenue = 28.57
Therefore, the tax revenue generated is 28.57.
Given the demand and supply system:
Pb = 53 - 5 Qb & Pv = 3 + 2 Qv
With a specific tax of T^ = 4 , the deadweight loss (DWL) generated can be calculated using the formula:
DWL = 0.5 × Tax Rate × (Q1 - Q2)
Where Q1 is the quantity before the tax and Q2 is the quantity after the tax. We already found the equilibrium quantity before the tax (Q1) to be 50/7. We can find the quantity after the tax (Q2) by adding the tax to the supply equation and finding the new equilibrium quantity:
Pb = 53 - 5 Qb & Pv = 3 + 2 Qv + 4
53 - 5 Qb = 7 + 2 Qv
46 = 7 Q
Q2 = 46/7
The DWL generated is then:
DWL = 0.5 × 4 × [(50/7) - (46/7)]
DWL = 0.5 × 4 × (4/7)
DWL = 8/7
DWL = 1.14
Therefore, the DWL generated is 1.14.
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Prices of substitutes and complements in the smartphones market? Mention the sources
The prices of substitutes and complements in the smartphones market can vary depending on the brand, model, and features, but generally, substitutes like lower-end smartphones and complements tend to be less expensive than higher-end smartphones and accessories.
Smartphones can have many substitutes and complements. Substitutes are products that consumers can use instead of a smartphone, such as feature phones or tablets. These substitutes tend to be less expensive than high-end smartphones. On the other hand, complements are products that enhance or go well with a smartphone, such as phone cases, screen protectors, wireless earbuds, and smartwatches. The prices of these complements can vary, but generally, they tend to be less expensive than high-end smartphones.
Sources for smartphone prices include official websites of manufacturers, online retailers such as Amazon, and tech news sites like TechRadar and CNET.
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Isaac buys five new textbooks during his first year at University at a price of $80 each, spending all his textbook budget. Used textbooks cost only $50 each. When the bookstore announces that there will be a 10% increase in the price of new books and a 5% increase in the price of used books, Isaac's father offers him $40 extra.
a) What happens to Isaac's budget line?
b) Is Isaac worse off or better off after the price change?
A budget line is a graphical representation of the possible combinations of two goods that can be purchased with a given budget. A change in price of one or both goods or a change in the budget will result in a shift or rotation of the budget line.
a) After the price change, the price of new textbooks increases from $80 to $88 ($80 + ($80 * 0.10)) and the price of used textbooks increases from $50 to $52.50 ($50 + ($50 * 0.05)). Additionally, Isaac's budget increases by $40 from his father.
As a result, his budget line will shift outward and rotate slightly, indicating that he can now afford more textbooks but at a higher price.
b) Whether Isaac is worse off or better off after the price change depends on his preferences for new versus used textbooks.
If he strongly prefers new textbooks, he may be worse off because the price increase for new textbooks is greater than the price increase for used textbooks and his budget increase may not be enough to offset the higher cost.
However, if he is indifferent between new and used textbooks or prefers used textbooks, he may be better off because he can now afford more textbooks with the additional $40 from his father.
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If a demand curve is linear, the own price elasticity of demand varies from one point to point on the demand curve. For management, elasticity of demand is an important measure of making decisions, given the revenue of the firm is influenced by the degree of elasticity. Can you explain, using the demand curve, how elasticity of demand impacts the firm ability to make profits.
Let us assume that income in your country is to increase by 3% next year, and that the number of young people who will be 18 years and older will reach all time high. These young people will be eligible to obtain driving license and buy cars. Use the demand and supply analysis to show what impact that increase of the number of youths over 18 years will have on the demand, supply, and prices of cars in your country.
In managerial economics, we define profit different from those in accounting do. Profits in economic is measured over and above what the owners’ labor and capital employed in the business could earn elsewhere. To a large extent, the differences between concepts of profits used by the accountant and the economist reflect the differences in their functions. Explain.
Accountants are concerned with tracking the financial performance of a business, while economists are concerned with the allocation of resources in the economy. The own price elasticity of demand measures the responsiveness of quantity demanded to a change in the price of a good.
If the demand curve is linear, the elasticity of demand will vary at different points along the curve. At higher prices, demand will be relatively elastic, meaning that a small change in price will lead to a large change in quantity demanded. At lower prices, demand will be relatively inelastic, meaning that a small change in price will lead to a small change in quantity demanded.
The elasticity of demand impacts a firm's ability to make profits because it determines how much a firm can increase prices without losing too many customers. If demand is elastic, a firm will not be able to increase prices very much without losing a large number of customers. If demand is inelastic, a firm will be able to increase prices without losing many customers. This is important for firms to consider when making pricing decisions in order to maximize profits.
An increase in income and the number of young people over 18 years old will lead to an increase in demand for cars. This will shift the demand curve to the right, leading to a higher equilibrium price and quantity. The increase in demand will also lead to an increase in supply, as car manufacturers will produce more cars in response to the higher prices. This will shift the supply curve to the right, leading to a lower equilibrium price and a higher equilibrium quantity. The overall impact on prices will depend on the relative shifts of the demand and supply curves.
In managerial economics, profit is defined as the difference between total revenue and total economic costs. Economic costs include both explicit costs, such as wages and materials, and implicit costs, such as the opportunity cost of the owners' labor and capital. This is different from accounting profit, which only considers explicit costs. The difference between the two concepts reflects the different functions of accountants and economists.
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How will International trade and exports of natural resources (coal, gold and other resources) benefit South African economic growth for 2022 due to the Sanctions imposed against Russian exports? Explain and motivate your answer in a 500 words
International trade and exports are crucial drivers of economic growth for South Africa. Exporting natural resources, such as coal, gold, and other resources, provides a significant source of income for the country, which can be used to invest in infrastructure, education, and other important sectors.
With sanctions imposed against Russian exports, South Africa has the opportunity to fill the gap in the global market and increase its exports of natural resources. This will likely lead to an increase in demand for South African goods, resulting in higher prices and increased profits for South African exporters. As a result, the South African economy will likely see an increase in growth in 2022.
Furthermore, increased exports can lead to the creation of new jobs, as companies will need to hire more workers to keep up with the increased demand. This will also have a positive impact on the South African economy, as more people will have jobs and disposable income to spend on goods and services.
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compare the GDP and provide a reason for increasing or decreasing
GDP, or Gross Domestic Product, is a measure of a country's economic output.
It is calculated by adding up the market value of all goods and services produced within a country in a given period of time. When comparing GDP, it is important to look at the change over time, as well as the reasons for increasing or decreasing.
One reason for an increase in GDP could be an increase in investment. When businesses invest in new equipment, technology, or infrastructure, it can lead to an increase in production and therefore an increase in GDP.
Another reason for an increase in GDP could be an increase in consumer spending. When consumers have more disposable income and are confident in the economy, they are more likely to spend money on goods and services, leading to an increase in GDP.
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Given: - Par value = $1,000 – Initial purchase price = $996.25 - Coupon rate = 9.625% per year paid semiannually - Maturity = 10 years Find: (a) Yield to maturity (b) Current yield
(a) The Yield to maturity is 4.859%.
(b) The current yield is 4.83%.
Yield to maturity:
The yield to maturity (YTM) is the total return expected on a bond if it is held until its maturity date. It is calculated by finding the interest rate that makes the present value of the bond's future cash flows equal to its current price. In this case, the YTM can be found using the following formula:
YTM = [(C + (F - P) / N) / ((F + P) / 2)] * 100
Where:
C = Coupon payment = ($1,000 * 9.625%) / 2 = $48.125
F = Par value = $1,000
P = Initial purchase price = $996.25
N = Number of years to maturity = 10
Plugging in the values, we get:
YTM = [($48.125 + ($1,000 - $996.25) / 10) / (($1,000 + $996.25) / 2)] * 100
YTM = (48.49875 / 998.125) * 100
YTM = 4.859%
Therefore, the yield to maturity is 4.859%.
Current yield:
The current yield is the annual income (interest or dividends) divided by the current price of the security. In this case, the current yield can be found using the following formula:
Current yield = (C / P) * 100
Where:
C = Coupon payment = $48.125
P = Initial purchase price = $996.25
Plugging in the values, we get:
Current yield = ($48.125 / $996.25) * 100
Current yield = 4.83%
Therefore, the current yield is 4.83%.
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