Hi,

Could you please help me answer the 4 questions below? I need the correct answer, and if possible, a brief explanation. Thanks very much :)

549&cmid=228848# Question 1 The Economist publishes annually the "Big Mac Index" by which they compare the prices of the Mcdonald's Corporation's Big Mac hamburger around the world. The index estimates the exchange rates for currencies based on the assumption that the burgers in question are the same across the world and therefore, the price should be the same. If a Big Mac costs $3.50 in the United States and 2.87 EUR in Berlin, what is the estimated exchange rate of EUR per dollar as hypothesized by the Hamburger index? Select one: A. 1.2195Eur/$ B. $0.8200Eur/$ C. 0.8200$/Eur D. 1.2195$/Eur Question 2 Which of the following would be considered governmental interference in comparative advantage? Select one: A. VAT (Value added tax) B. Quotas C. Managerial skills D. Location of natural resourcesQuestion 3 During the Bretton Woods era (and currently for countries applying fixed exchange rate systems within a band mechanism) when a currency approached the limits of the band a government would intervene in the markets. If the exchange rate approached the lower limit of the band, the government would its domestic currency using foreign exchange and gold, or if the exchang rate approached the upper limit, they would domestic currency. Select one: A. buy; buy B. sell; sell C. sell; buy D. buy; sell Question 4 Which of the following is not an example of comparative advantage? Select one: A. Wool from Australia is exported worldwide. B. Microsoft exports software to India. C. The export of Champagne from the champagne region of France. D. Computer hardware is designed in the United States but manufactured and assembled in China