## Question

###### According to the Balassa-Samuelson effect

According to the Balassa-Samuelson effect, price levels are related to productivity in the tradables sector.

**a. Explain the intuition behind the Balassa-Samuelson effect.**

**b. What does the Balassa-Samuelson effect imply for differences in price levels between rich and poor countries?**

**c. What does the Balassa-Samuelson effect imply for differences in inflation between rich and poor countries?**

**Please provide an answer for A, B and C.**

## Answers

#### Similar Solved Questions

1 answers

##### Cost per square yard

A room is 11 ft long, 9 ft wide, and 9 ft high. Two adjacent walls of the room are going to be wallpapered using wallpaper that costs $14.50 per square yard. What isthe cost to wallpaper the two walls? Hint: 1 yd2 = 9 ft2...

1 answers

##### As the population ages, there is increasing concern about accident-related injuries to the elderly. An article...

As the population ages, there is increasing concern about accident-related injuries to the elderly. An article reported on an experiment in which the maximum lean angle—the farthest a subject is able to lean and still recover in one step-was determined for both a sample of younger females (21-...

1 answers

##### 1. Walstrom's Electronics year-end balance sheet consisted of the following amounts: Cash $75,000, Property, plant and...

1. Walstrom's Electronics year-end balance sheet consisted of the following amounts: Cash $75,000, Property, plant and equipment $350,000, Common stock $500,000, Retained earnings ?, Accounts receivable $250,000, Long term debt $200,000, Accounts payable $100,000 and Inventory $175,000. What is ...

1 answers

##### Explain how a computer-based information system designed to process payroll is a specific example of a...

Explain how a computer-based information system designed to process payroll is a specific example of a system. Be sure to account for all nine components of any system in your explanation....

1 answers

##### 212 Part 2 Exam Review Davies Questions 176 Unit Blood Collection Procedures SKILLS DRILL 9-3: VENIPUNCTURE...

212 Part 2 Exam Review Davies Questions 176 Unit Blood Collection Procedures SKILLS DRILL 9-3: VENIPUNCTURE BELOW AN IV (Text Procedure 9-1) Fill in the blanks with the missing information Steps Explanation/Rationale 1. Ask the patient's nurse to turn off the IV for at A phlebotomist is not qual...

1 answers

##### Koppish equation of state: P(Vm-Ak) = RT gas. Call you un 4. The isothermal change in...

Koppish equation of state: P(Vm-Ak) = RT gas. Call you un 4. The isothermal change in enthalpy with pressure is OH = 1,(1 – al) Where a is the coefficient of thermal expansion, which is defined as a-ben), Evaluate (H) for a Koppisch gas....

1 answers

##### (2 points) Note: The formulas for the Fourter transform on hair intervals are often given in...

(2 points) Note: The formulas for the Fourter transform on hair intervals are often given in the form 1 [". f(x)cos (* nic dx, with the { outside the integral. L Computing these integrals will often involve u-substitutions, integration by parts, and other integration techniques that will produce...

1 answers

##### 7.) Sketch the curve for r = 2 – cos(O) and find the area it encloses

7.) Sketch the curve for r = 2 – cos(O) and find the area it encloses...

1 answers

##### The Ksp of Caso4 is 4.93x 10-5 Calculate the solubility (in g/L) of Caso4(s) in 0.250...

The Ksp of Caso4 is 4.93x 10-5 Calculate the solubility (in g/L) of Caso4(s) in 0.250 M NazSO4(aq) at 25 °C. Number g/L Which salts will be more soluble in an acidic solurtion than in pure water? PbCl2 PbSO □ CaCO3...

1 answers

##### Gable Company annually hires inexperienced college students at minimum wage to help the Production Department fill...

Gable Company annually hires inexperienced college students at minimum wage to help the Production Department fill Christmas orders. If standard costs are not adjusted to reflect this practice, this situation is most likely to result in: An unfavorable labor price variance as well as an unfavorable ...

1 answers

##### How does "How many gallons of a 12% indicator solution must be mixed with a 20% indicator solution to get 10 gal of a 14% solution

How does "How many gallons of a 12% indicator solution must be mixed with a 20% indicator solution to get 10 gal of a 14% solution?" turn into ".12x + .2(10+ -1x) = .14(10)"?? Please, I need to understand how it works! Thank you....

1 answers

##### 6. Plot the following functions and then find the Fourier transforms: (a) f (t) - Kt[u(t...

6. Plot the following functions and then find the Fourier transforms: (a) f (t) - Kt[u(t +a/2) - u(t - a/2)]. What is the value of F(0)? (b) f(t)- A cos (t)[u(t 2) ut -2)] (c) f(t) -Ae-2M-Du(t -1). 2(t-1)...

1 answers

##### DVIVE COSMOS Get yours first 2 0 Quesas 0.9360 Question 2 2 pts Refer to the...

DVIVE COSMOS Get yours first 2 0 Quesas 0.9360 Question 2 2 pts Refer to the previous question about the balls in the basket. Instead of drawing out three balls one at a time at random with replacement, suppose we selected balsore ata time at random without replacement until all the yellow balls wer...

1 answers

##### 1. A firm uses labor and machines to produce output according to the production function f(L,...

1. A firm uses labor and machines to produce output according to the production function f(L, M) 2L2 M , where L is the number of units of labor used and M is the number of machines. The cost of labor is $20 per unit and the cost of using a machine is $5. a. Suppose that the firm wants to produce it...

1 answers

##### Show work and explain please. Using analytical methods, determine the sum of the following sets of...

Show work and explain please. Using analytical methods, determine the sum of the following sets of vectors. Show your work in the space provided. Remember that you may have to convert the proper angle determined by your calculator to the "true" angle. A = (130 gm)g, theta_A = 47 degree B =...

1 answers

##### In which of the following reactions does water act as a Lewis Base? And reasons why?...

In which of the following reactions does water act as a Lewis Base? And reasons why? 1. HB+(aq)+H20(l)<---->B(aq)+H3O+(aq) 2.NH3(aq)+H2O(l)<--->NH4+(aq)+OH^-1(l) 3. Al^3+(aq)+6H20(l)<----->[Al(H2o)6]^3+(aq) 4.CO2(g)+H20(l)<------->H2CO3(aq)...

1 answers

##### “When” to recruit is one of the _______ considerations in the recruitment process. A. easiest B....

“When” to recruit is one of the _______ considerations in the recruitment process. A. easiest B. last C. first D. hardest External recruiting includes all of the following except: A. referrals from current employees B. various forms of advertising media C. educational institutions D. gov...