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Today Paper 20-08-2016
47 MCQs, 8 Theory
Why we trade? 3
Note on trade optimist argument. 5
Note on Dual Exchange Rates – 5
What is factor endowment trade theory – 5
Note on Global warming - 5
How agriculture based country improve their status. -5
Informal Sector - 3
Note on Production Function – 3
MCQs are:
Debtors’ cartel: A group of developing-country debtors who join together to bargain as
a group with creditors.
Debt-for-equity swap: A mechanism used by indebted developing countries to reduce
the real value of external debt by exchanging equity in domestic companies (stocks) or
fixed-interest obligations of the government (bonds) for private foreign debt at large
discounts.
Current account: The portion of a balance of payments that states the market value of
a country’s “visible” (e.g., commodity trade) and “invisible” (e.g., shipping services)
exports and imports.
Debt service: The sum of interest payments and repayments of principal on external
public and publicly guaranteed debt.
Hard currency: The currency of a major industrial country or currency area, such as the
U.S. dollar, the euro, or the Japanese yen, that is freely convertible into other currencies.
Inward-Looking Development Policies: Policies that stress economic self-reliance on
the part of developing countries including domestic development of technology, the
imposition of barriers to imports, and the discouragement of private foreign investment.
Product cycle: In international trade, the progressive replacement of more developed
countries by less developed countries in the production of manufactures of increasing
complexity.
ABSOLUTE ADVANTAGE THEORY - In 1776, Adam Smith
Marginal cost: The addition to total cost incurred by the producer as a result of increasing output by one more unit.
Transferability —the owner of a resource may sell the resource when desired.
Sharecropper: A tenant farmer whose crop has to be shared with the landlord, as the basis for the rental contract.
Moneylender: A person who lends money at high rates of interest, for example to peasant farmers to meet their needs for seeds, fertilizers, and other inputs.
Labour Turn Over
CONGESTION COST: An action taken by one agent that decreases the incentives for other agents to take similar actions. Compare to the opposite effect of a complementarity.
O-RING PRODUCTION FUNCTION: "A production function with strong complementarities among inputs, based on the products of the input qualities"
COMPLEMENTARITY: An action taken by one firm, worker, or organization that increases the incentives for other agents to take similar actions.
******** Good Luck *********
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Today Paper 20-08-2016
47 MCQs, 8 Theory
Why we trade? 3
Note on trade optimist argument. 5
Note on Dual Exchange Rates – 5
What is factor endowment trade theory – 5
Note on Global warming - 5
How agriculture based country improve their status. -5
Informal Sector - 3
Note on Production Function – 3
MCQs are:
Debtors’ cartel: A group of developing-country debtors who join together to bargain as
a group with creditors.
Debt-for-equity swap: A mechanism used by indebted developing countries to reduce
the real value of external debt by exchanging equity in domestic companies (stocks) or
fixed-interest obligations of the government (bonds) for private foreign debt at large
discounts.
Current account: The portion of a balance of payments that states the market value of
a country’s “visible” (e.g., commodity trade) and “invisible” (e.g., shipping services)
exports and imports.
Debt service: The sum of interest payments and repayments of principal on external
public and publicly guaranteed debt.
Hard currency: The currency of a major industrial country or currency area, such as the
U.S. dollar, the euro, or the Japanese yen, that is freely convertible into other currencies.
Inward-Looking Development Policies: Policies that stress economic self-reliance on
the part of developing countries including domestic development of technology, the
imposition of barriers to imports, and the discouragement of private foreign investment.
Product cycle: In international trade, the progressive replacement of more developed
countries by less developed countries in the production of manufactures of increasing
complexity.
ABSOLUTE ADVANTAGE THEORY - In 1776, Adam Smith
Marginal cost: The addition to total cost incurred by the producer as a result of increasing output by one more unit.
Transferability —the owner of a resource may sell the resource when desired.
Sharecropper: A tenant farmer whose crop has to be shared with the landlord, as the basis for the rental contract.
Moneylender: A person who lends money at high rates of interest, for example to peasant farmers to meet their needs for seeds, fertilizers, and other inputs.
Labour Turn Over
CONGESTION COST: An action taken by one agent that decreases the incentives for other agents to take similar actions. Compare to the opposite effect of a complementarity.
O-RING PRODUCTION FUNCTION: "A production function with strong complementarities among inputs, based on the products of the input qualities"
COMPLEMENTARITY: An action taken by one firm, worker, or organization that increases the incentives for other agents to take similar actions.
******** Good Luck *********
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