1: Tariffs encourage Americans to buy U.S.-made products. (Points: 13) I find this position to be valid. Tariffs are basically taxes on imports, thus making imported goods more expensive to buy (Nickels, McHugh & McHugh, 2008, p. 75). Protective tariffs are designed to raise the retail price of imported products so that domestic goods are more competitively priced (Nickels, McHugh & McHugh, 2008, p. 76). Therefore, if when a consumer enters a store and sees similarly priced products, one imported and one made domestically, they can choose a US made product without feeling as if they are overpaying for the same product.
Trident University Macro-Economic Indicators: GDP, CPI, Unemployment, Interest Rates TAWANNA J. RICHARD ECO202 MODULE 2 Cases Dr. Canarella GDP 1. Y= C+ I+ E+ G 1750= 1,000+ 200+ 300+ 250 2. If we increase our domestic energy production, and imported less oil from foreign countries the GDP would raise extremely high due to no out sources. Inflation 1. ((111-106)/106)*111 111-106=5 5/106= 0.0471 0.0471*111= 5% 2.
With reference to extract one, assess the likely effect of a fall in the sterling exchange rate on the UK’s deficit in the trade of goods and services. (12 marks) A fall in the exchange rate of 25% means the pound becomes weaker, this means imports are more expensive, and exports are cheaper. As a result of this, this may mean a large increase in demand for exports and a considerable decrease in demand for imports, therefore decreasing the deficit of the balance of payments in the UK as predicted. However, if the goods we are importing and exporting are inelastic, meaning they have a less than proportional response to price, an increase in the price of imports, and a decrease in the price of exports may not have a great effect on the trade of goods and services and so therefore not improve on the deficit the UK holds. As stated in extract 1, it tells us that the goods we import are not made in the UK and so makes it impossible to replace the imports, therefore meaning that we still have to import goods, despite the high prices due to the low exchange rate of sterling.
One of the functions of money is as a store of value. How does inflation affect money's ability to store value? (3-6 sentences. 2.0 points) Inflation can decrease the value of money overtime. Inflation is when the value of money goes down, so you can’t get as much for your money as you could in the past.
As the producer creating the externality does not take it into account and the consumer does not fully pay for the resulting externalities, market inefficiencies result in the form of market failure. The social costs imposed upon third parties can be alleviated by the imposition of an indirect tax on Petrol and Diesel which will in turn increase the costs of producers (P1->P2) and discourage production, causing supply to shift to the left (Q1->Q2). This occurs as the indirect taxes increase the costs of production, hence decreasing the motive to produce. However, as Petrol and Diesel are inelastic goods, a majority of the said indirect taxes are imposed on the consumers and not the producers. As shown in Diagram 2, the consumer burden of tax is greater than that of a producer as price increases due to the irresponsiveness of demand to changes in price.
Formal Report From: Date: To: Ref: Budget 1.0 Introduction This report will include information on how there have been problems with the budget and the recommendations I can make to improve the situation. 2.0 Problems 2.1 The budget has been exceeded in some areas. This has meant that we have had to cut money in other areas as a result. This has been an on-going problem, with the budget department becoming slack and not doing as deep research and up to date costing. 2.2 The budget has not been accurate enough.
| | | | relative inflation rates. | | Instructor Explanation: | Chapter 37 | | | | Points Received: | 1 of 1 | | Comments: | | | | 2. | Question : | (TCO 8) The organization created to oversee the provisions of multilateral trade agreements, resolve disputes under the international trade rules, and meet periodically to consider further trade liberalization is called the | | | Student Answer: | | International Monetary Fund (IMF). | | | | World Trade Organization
We will offer price cuts for Able and increase prices on modified products. Antz is not priced, as this product is not ready for production. | Able | Acre | Adam | Aft | Agape | Antz | Price | $24.00 | $18.00 | $37.00 | $32.50 | $32.00 | N/A | Sales Forecast | 1800 | 2000 | 650 | 540 | 500 | N/A | We will leave A/P at net 30 days and A/R at net 45 days. Promotion & Sales We reduced budgets for Able, Acre, and Adam, as these products have established visibility. We left the budgets for Aft and Agape at current levels, as these sites need increased visibility.
The Solow model views population growth as exogenous, or something that is determined outside the model. The model predicts that countries with higher population growth rates will have a lower steady-state income per capita because of capital dilution which is the negative effect of population growth on capital per worker. Q4: What is a demographic transition? A demographic transition is the process by which a country’s
Is the use of a monthly average price a net advantage or disadvantage to J & L? Using NYMEX contracts will minimize the asset mismatch aspect of basic risk, along with a better liquidity. However, since diesel fuel is not a traded commodity, it cannot be directly hedged and J&L will suffer a certain amount of basis risk. J&L will also need to post a margin for their future contracts at NYMEX. Using product offered by Continental Bank would require a higher cost for J&L, and illiquid compared with NYMEX.