115bslides_1

115bslides_1 - ECN 115B Section 1: Introductions to...

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ECN 115B Section 1: Introductions to development
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About me Gabe Mathy gpmathy@ucdavis.edu Office Hours: W 1-3pm, TH 4-5pm Office: SSH 119 Sections: Thursday 6:10-7pm, 7:10-8pm Wickson 1020
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Announcements Exams: October 22 and November 19 (both Thursdays) Review sections will replace Thursday sections, will take place Wednesday 6-8pm, location TBA (October 21st and November 18 th ) Homework 1 will be uploaded October 2nd, due (fill this in later)
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Gapminder Income per person and growth rates Income per person and life expectancy Income per person and child per woman Income per person and CO2 emissions Income per person and share of agriculture Income per person and share of industry Income per person and urban population
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PPP example Setup: Look at Ford Focus in Mexico and USA Say a Ford Focus costs $USD10,000 in the USA Say the exchange rate is 10 pesos per dollar ($P10:$1) There is free trade (no tariffs) and no transport costs(free to drive your car across the border, say San Diego to Tijuana)
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According to PPP, what should the price of a Ford Focus in Mexico be? What should happen if Ford Focuses in
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115bslides_1 - ECN 115B Section 1: Introductions to...

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