ECO 352 Spring 2010
International Trade
Problem Set 5 Due April 22
Question 1: (75 points)
Note: To do this question, you will have to use the analysis of Cournot duopoly from the
Microeconomics Review of Precepts Week 7, slide 3.
For the purpose of this

ECO 352 Spring 2010
International Trade
Problem Set 5 Draft Answer Key
The grade distribution was as follows:
Score/range
Number of students
> 100 100 90-99 80-89 70-79 60-69 0 59
Question 1: (75 points)
(a) Expressions for the two companies prots:
1
a =

ECO 352 Spring 2010
International Trade
Problem Set 4 Answer Key
The grade distribution was as follows:
Score/range
Number of students
100 90-99 80-89 70-79 < 50
1
19
4
3
3
Common errors:
1. The unit megabucks in Q1 tripped up a few. Its a bit ironic that

ECO 352 Spring 2010
International Trade
Problem Set 4 Due April 8 in class
Question 1: (40 points)
Note: In your calculations in this question, you can use without proof the following mathematical result: Given any two numbers a and b with a < b, and the

ECO 352 Spring 2010
International Trade
Problem Set 3 Due March 4 in class
Note: For the numerical calculations in Q.1, you can either use a calculator and show
the answers to 3 decimal places, or work using paper and pencil and show everything in
fractio

ECO 352 Spring 2010
International Trade
Problem Set 3 Answer Key
Score/range
Number of students
100 90-99 80-89 70-79 60-69 50-59
11
11
3
3
1
1
Overall an excellent performance. One general comment bearing on both questions: It is
important to be clear wh

ECO 352 Spring 2010
International Trade
Problem Set 2 Due February 25 in class
Question 1: (35 points)
Consider a world consisting of two countries, Freedonia and Sylvania. Suppose that in
Freedonia, 40 man-hours are required to produce each unit of cloth

ECO 352 Spring 2010
International Trade
Problem Set 2 Answer Key
The grade distribution was as follows:
Score/range
Number of students
100 90-99 80-89 70-79 60-69 50-59
14
6
2
3
5
5
General comments:
1. Overall good work, but some low scores mostly for st

ECO 352 Spring 2010
International Trade
Problem Set 1 Due February 18 in class
Question 1: (30 points)
The world of this question consists of two countries, Florin and Guilder, and the economy
consists of two goods, Cheese and Wine. The endowments of the

ECO 352 - Spring 2010
International Trade
Problem Set 6 - Due April 29th in class
Essay on trade policy (100 points)
Please choose a country that you are interested in or you are familiar with and write a short
essay on the country's trade policy.
You are

ECO 352 Spring 2010
International Trade
Problem Set 1 Answer Key
Grade Distribution
90-100 80-89 < 80
23
7
2
General Comments
Overall an excellent start. Please read the answer key carefully to see where you may have
lost points, and to improve your under