Luceme is Crackerbarrel. So if you had chosen Lucerne sharp cheddar, then find the corresponding Crackerbarrel sharp cheddar in the Safeway store you visit here. Record its price and quantity, and company name. To ensure that you actually collect these figures, you need to submit photos of the cheese at Safeway, preferably with you in the picture. 2. Now convert the prices to common units. Convert US dollar prices to CDN dollars using the current exchange rate. Convert pounds and ounces into grams or kilograms. From this exercise you should have two prices for say sharp cheddar cheese measured in for example CDN dollars per gram. You should have twenty comparable cheese prices - ten from the US and ten from Canada. Construct a nice table where you show the two columns and prices in comparable units (like CDN per kg or similar), labelled appropriately. 3. Look at the prices. How similar or different are they? If there were zero trade barriers and low transport costs, the prices should be very similar. Are they? Comment on the differences. Look up the Law of One Price on Wikipedia if you want help in explaining why they may be different. 4. If you find the US prices are generally cheaper than the CDN prices, explain why this might be so given your knowledge that Canada is a cheese importer and importers sometimes face steep tariffs. If you don't find a difference, is it possible that these imports came in duty free? Explain how or why this could be true since we have tariff rate quotas for cheese. You need to submit tables, explanation, and pictures for full marks. Luceme is Crackerbarrel. So if you had chosen Lucerne sharp cheddar, then find the corresponding Crackerbarrel sharp cheddar in the Safeway store you visit here. Record its price and quantity, and company name. To ensure that you actually collect these figures, you need to submit photos of the cheese at Safeway, preferably with you in the picture. 2. Now convert the prices to common units. Convert US dollar prices to CDN dollars using the current exchange rate. Convert pounds and ounces into grams or kilograms. From this exercise you should have two prices for say sharp cheddar cheese measured in for example CDN dollars per gram. You should have twenty comparable cheese prices - ten from the US and ten from Canada. Construct a nice table where you show the two columns and prices in comparable units (like CDN per kg or similar), labelled appropriately. 3. Look at the prices. How similar or different are they? If there were zero trade barriers and low transport costs, the prices should be very similar. Are they? Comment on the differences. Look up the Law of One Price on Wikipedia if you want help in explaining why they may be different. 4. If you find the US prices are generally cheaper than the CDN prices, explain why this might be so given your knowledge that Canada is a cheese importer and importers sometimes face steep tariffs. If you don't find a difference, is it possible that these imports came in duty free? Explain how or why this could be true since we have tariff rate quotas for cheese. You need to submit tables, explanation, and pictures for full marks
