Examination in MEI World Economy

Question 1. Explain the difference between the theories of absolute and comparative advantage in international trade as an example of trade between Germany and Russia, if Russia exports oil and weapons, and Germany - machinery and automobiles. For some couples export-import goods can be traced action theory of absolute advantages, and for some - comparative advantage.
Question 2. What is the theory best explains the following situation: England exports to the German computers, and Germany to England automobiles. Give a detailed answer.
Question 3. You are the advisor of the government of the country, the main revenue which bring the agricultural sector of the economy. Government to support agriculture decides to impose additional duties on imported products of the industry. It selects from two options, either to increase tariffs on imported milk by 15% or increase of 25% duty on cheese and introduce a tariff quota for this product. Which option do you recommend to the Government in terms of stimulating the development of national agriculture.
Question 4. The forecast for the global economy in 2015 reduced to the following events:
• Reduction in oil prices to $ 65 per barrel;
• The superiority of the United States to Western Europe in latitude and risk of entrepreneurial activity;
• Increased demand for gold due to distrust of the dollar as the main reserve currency in connection with the introduction of the euro;
• An increase in the rate of economic growth in Europe in connection with the transition to a single currency and EU enlargement;
• Increase the flow of foreign direct investment in the countries of Eastern Europe and the former Soviet Union 5 times;
• The rise of the global arms market due to the worsening political tensions;
• The deepening economic crisis in the newly industrialized countries of Asia;
• Economic integration of Russia, Belarus, Ukraine and Kazakhstan, with the resumption of a single ruble zone.
Imagine that you are a dealer monetary adviser office and you are required to answer the question about the future behavior of the following currencies: US dollar, euro, Japanese yen, the Russian ruble.
Question 5: According to the following table characterize the situation of countries in international trade in terms of monospetsializatsii and diversification. Formulate conclusions
Question 6. under threat of severe stock market crisis in May 1998 ruble devaluation threatens. What measures should take the central bank to prevent the devaluation of the ruble. (Try to specify what really made the Central Bank. And what additional resources he could use).
Question 7: From 1992 to 1997. Russia is constantly increasing trade surplus, and therefore had a net creditor of the world economy. At the same time, for the same years, the country has increased external borrowing to finance the deficit of the capital account and financial operations. Suggest some reasons for this paradox.
Question 8: What are the parameters of the investment climate in Russia will have the greatest influence on the decisions of foreign investors in Russia to carry out direct, portfolio and other investments:
• The adoption of the State Duma a package of laws on tax benefits for foreign investment in the domestic automotive industry;
• Removal of restrictions on the transfer of interest income from placing funds on deposit in the Russian commercial banks;
• Increased profitability of short-term bonds;
• Removal of restrictions on foreign participation in the privatization of the oil and gas complex of Russia;
• Rapid economic growth in the food industry and increasing the profitability of shares of enterprises in the industry.

Question 9. In what phase of the business cycle according to the following table are individual countries and groups of countries in 1999, 2000 and 2001?
Question 10: What will the migration of labor from country A (labor-surplus country) to B (trud