Exam 1: Globalization and the Multinational Firm

Country A can produce 10 yards of textiles or 6 pounds of food per unit of input.Country B can produce 8 yards of textiles or 5 pounds of food per unit of input.

Privatization refers to the process of

In which product does Northern Ireland have a comparative advantage?

Although the world economy is much more integrated today than was the case 10 or 20 years ago,a variety of barriers still hamper free movements of people,goods,services,and capital across national boundaries.These barriers include

The massive privatization that is currently taking place in formerly socialist countries,will likely

For case II,let the international price be 1 bottle = 1 bushel.Derive North Dakota's "trading possibilities curve."

Suppose that the citizens of North and South Carolina are currently consuming as much butter as they care to.What is the maximum increase in the number of guns that could occur following trade?

The first two columns give the maximum daily amounts of beer and whiskey that Southern Ireland and Northern Ireland can produce when they completely specialize in one or other product. The last two columns give each country's consumption without trade. Maximum beer production Maximum whiskey production Beer consumption without trade Whiskey consumption without trade Northern Ireland 500 kegs 1500 bottles 300 600 bottles Southern Ireland 1200 kegs 800 bottles 600 kegs 400 bottles -Now suppose that Southern workers receive a raise to €2 per day.Will trade be possible at the exchange rate you found in the last question?

Which state has an absolute advantage in producing beer in Case I?

International trade is

Consider the no-trade input/output situation presented in the following table and graph for countries A and B.Assuming that free trade is legal; develop a scenario that will benefit the citizens of both countries.

Country A can produce 10 yards of textiles or 6 pounds of food per unit of input.Country B can produce 8 yards of textiles or 5 pounds of food per unit of input.

If one country is twice the size of another country and is better at making almost everything than the benighted citizens of the smaller county,

Which is growing at a faster rate,foreign direct investment by MNCs or international trade?

Privatization

The Japanese automobile company Honda decided to establish production facilities in Ohio,mainly to

What is the price of beer without trade in Northern Ireland?

Since its inception the euro has brought about revolutionary changes in European finance.For example,

Suppose that Great Britain is a major export market for your firm,a U.S.-based MNC.If the British pound depreciates against the U.S.dollar,

While the corporate governance problem is not confined to the United States,