This time characterize each number as Odd or Even below (let the number 0 be Even) (A) (B) (C) (D) (E) (F) (Ex: If your student number is 0678031 you would write Even(A),Even(B),Odd(C),Even(D), Odd(E),Odd(F)) Use the letters as follows If A is Even - Aid Donor; Odd - Aid Recipient; If B is Even - Tied ; Odd - Untied If C is Even - Import Tariff: Odd-Export Subsidy If D is Even - Country uses tariff or subsidy; Odd - Trading partner of country using tariff or subsidy If E is Even - Export Biased Growth; Odd - Import Biased Growth If F is Even - Country experiencing growth; Odd - Country not experiencing growth Assume two "large" countries in answering three questions about the Standard Model (chapter 5) on the following three pages. Read the three questions carefully so you get the axes right. Label your axes and relative demand and supply curves. Use " 1 " subscripts to denote initial relative prices and quantities (and RD and RS curve) and a " 2 " subscript to label changes in any of these. b) Use relative demand and relative supply curves to show the impact of introducing an (C) on the terms of trade of the (D). Use arrows to show any shifts in curves. PE and QE refer to the price and quantity of the exported good of the (D) and PI and QI refer to the price and quantity of the imported good. Label both the old terms of trade (superscripted 1) and the new terms of trade (superscripted 2) This time characterize each number as Odd or Even below (let the number 0 be Even) (A) (B) (C) (D) (E) (F) (Ex: If your student number is 0678031 you would write Even(A),Even(B),Odd(C),Even(D), Odd(E),Odd(F)) Use the letters as follows If A is Even - Aid Donor; Odd - Aid Recipient; If B is Even - Tied ; Odd - Untied If C is Even - Import Tariff: Odd-Export Subsidy If D is Even - Country uses tariff or subsidy; Odd - Trading partner of country using tariff or subsidy If E is Even - Export Biased Growth; Odd - Import Biased Growth If F is Even - Country experiencing growth; Odd - Country not experiencing growth Assume two "large" countries in answering three questions about the Standard Model (chapter 5) on the following three pages. Read the three questions carefully so you get the axes right. Label your axes and relative demand and supply curves. Use " 1 " subscripts to denote initial relative prices and quantities (and RD and RS curve) and a " 2 " subscript to label changes in any of these. b) Use relative demand and relative supply curves to show the impact of introducing an (C) on the terms of trade of the (D). Use arrows to show any shifts in curves. PE and QE refer to the price and quantity of the exported good of the (D) and PI and QI refer to the price and quantity of the imported good. Label both the old terms of trade (superscripted 1) and the new terms of trade (superscripted 2)
