Explain the theory of Comparative Advantage.
Explain the Ricardian Theory of Trade. Draw Graph.
a. Spot Change Rate
b. Effective Exchange Rate
1. If there are two countries and two goods, even if the absolute prices of the
two goods are lower in one country than another one it still makes sense to
trade as long as the relative prices differ in the two countries.
2. In the Ricardian m
Yes, because wealthy people are only able to afford more expensive cars
therefore they will be the only one experiencing the higher tax.
3 & 11. If the United States were divided, the standard of living wouldve been really
hard and lowered for the sou
5 + 3Q = 10 3Q Q = 5/6
10 3(5/6) = 7.5
After the shift the equilibrium price stays the same (Uncertain) and the
equilibrium price decreased.
A. Three factors that cause economic growth are Capital Stock, Labor, and
An indifference curve is simply a level curve of a 3-D utility function on
which the combination of the two good change, but the level of total utility
remains constant. The utility function is concave, reflecting the
phenomenon of dimin
Steps to Request a Direct Student Loan (Complete in order)
Step 1 - Complete 2016-17 FAFSA application at www.fafsa.gov:
Follow-up and make sure no paperwork, on WebAdvisor under My
Documents, is required to complete the FAFSA process.
Step 2 - Go to www.
When looking at the different types of corporations it is easy to say that
Target is a C Corporation. This means that Target is a separate legal entity owned by
stakeholders. An advantage of this corporation is that there is no limit on the
number of stak
M2 Assignment: Target
Target has become the second largest general merchandising corporation
since it was found in 1962. With that being said it is easy to say that there are a lot of
people that are responsibly for this company. Target is a publicly owne
1) All of the following statements about marginal benefit are correct EXCEPT
A) the marginal benefit is the benefit a person receives from consuming one more unit of
a good or service.
B) the marginal benefit of a good or service is measured as the maximu
ECO 203, 8:00 AM TR
PRINT NAME: Key
pts.)1.) In the
above on the
what is the
surplus if the
$8 per unit?
First Practice Exam
1.) The most fundamental economic problem is
the fact the United States buys more goods from foreigners
than we sell to foreigners.
2.) Scarcity requires that people must
Answer Key for First Practice Exam:
Second Practice Test: Answer Key
ECO 203, 8:00 AM, TR
PRINT NAME Key
(5 pts.) 1.) Consider only the supply of a product, not demand or equilibrium. What happens if the price of the
product falls?The supply stays the same but the quantity supplied dec
ECO 203, 8:00 AM
(35 Points) 1.) Rubber Duckies has the total product schedule shown in the table below. The price of labor
for the firm is $500 per week and total fixed cost is $1,300 a week. Fill in t
ECO 203, 8:00 AM
PRINT NAME: KEY
1.) Use the information below, about Pats Pizza Kitchen (a price taker), and answer questions a-d.
Output (pizzas per hour)
Total Cost (dollars per hour)
The second component of your research project is an exploratory paper that includes a proposal and
research and writing schedule.
In your exploratory paper, which should be two-pages in length and double-spaced paper, you need to
Calculating GDP from Production & Sales
To calculate GDP, recall that GDP (i) measures the value of (domestic) production sold to final
purchasers, and (ii) uses the price as the measure of value.
Consider the following four firms: Rolling Rawhide, Beefin
Practice Exam 1 Questions
1. If supply decreases in Market D, the result in Market D will be,
(a) the equilibrium price will rise and the equilibrium quantity will rise
(b) the equilibrium price will rise and the equilibrium quantity will fall
(c) the equ
Simple Expenditure Income
(arrows track the flow of money payments)
Payments to resource owners
to Buy Shirts
Profits to Capital/Entrepreneurship (Firm) Owners
Salary to Labor Owners (Employees)
Calculating GDP from the Four Sectors of the Economy
An economy is typically divided into four sectors, the household, business, government, and
foreign sectors. The (final) purchasing amounts of these four sectors are designated as C, I, G,
and NX respec
January 20, 2016
1. Explain why prices tended to fluctuate in the POW camp.
2. Where did the stone money used by the Island people of Yap come from?
3. How long have they been using the stone rai or fei as money?
4. How do transaction
Money and Banking
Exam 1 Study Guide
Sloan Hall 325
Exam 1 will cover Lecture Notes, handouts and textbook readings from Chapters 1-7.
Be sure to study the terms and concepts from the notes and readings and
SCORE Financial Projection Model
Please read this entire page before you do anything else
This spreadsheet walks you through the process of developing an integrated set of financial projections.
To use this model, simply complete any information asked for
02.06 Budget Worksheet
Your Chosen Career:
Mortgage or rent
Maintenance or repairs
Net Income (after taxes)