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Please help me respond to my classmate. Here is the grading rubric: Needs to be 150-200 words in length. The topic of your Response Post must be to your classmate’s posting and must be written as if you were reviewing their posting in an academic journal. Your discussion response must therefore answer the following questions […]

 

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A U.S. electronics manufacturer is considering moving its production abroad. Its production function is  (based on Hsieh, 1995), so its MPL = 0.5q/Land its MPK = 0.5q/K. In the United States, w = 10 and r = 10. At its Asian plant, the firm will pay a 10% lower wage and a 10% higher cost […]

 

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When natural gas prices rose in the first half of 2004, producers considered using natural gas fields that once had been passed over because of the high costs of extracting the gas (Russell Gold, “Natural Gas Is Likely to Stay Pricey,” Wall Street Journal, June 14, 2004, A2). a. Show in a figure what this […]

 

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For Red Delicious apple farmers in Washington, 2001 was a terrible year (Linda Ashton, “Bumper Crop a Bummer for Struggling Apple Farmers,” San Francisco Chronicle, January 9, 2001, C7). The average price for Red Delicious was $10.61 per box, well below the shutdown level of $13.23. Many farmers did not pick the apples off their […]

 

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