Global Economy

1. What is worker productivity when it comes to economic growth? How can we express this productivity? What is it dependent on? State three policies the government can implement to improve workers productivity.2. State 3 arguments in favor of protectionism (in favor of trade restrictions). Please state your own opinion about the validity of each one and whether you support such argument,3. Explain the difference between currency devaluation and currency depreciation. What’s a major benefit for a nation to devalue its currency?4. Briefly discuss some of the problems of environmental command-and-control regulations.5. Switzerland population is 8,455,804. Its GDP is 617 billion in local currency, the Swiss Franc which is worth $1.10 (or 1 U.S. dollar is 0.91 Swiss Franc). Calculate Switzerland GDP in U.S. Dollar. What’s GDP per capita in U.S. Dollar? In your opinion and in comparison to other countries, what does this GDP per capita indicate? Show all work.6. During the time of a pandemic and the existence of a highly contagious corona-virus, many scientists recommended wearing a mask. Let’s assume that wearing a mask can limit the spread of the virus. Is wearing a mask an externality? Positive or negative? How about not wearing a mask? Explain your answers.7. Assume in a given month, Japan’s export to the U.S. increased. How such an increase will affect the Japanese Yen? From a U.S. perspective, how this increase will affect the U.S. dollar? Knowing that both currencies can float, verbally explain your answers using the demand/supply model (no need to draw a garph).

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