adverse selection vs. moral hazard

Question: Explain differences between adverse selection and moral hazard. use illustrative examples where appropriate.

Hedging and Spot Rate

Q: Suppose you place an order for ₤56,000 worth of British ale, to be delivered in 3 months. The current $/₤ spot rate is $1.80, and the 3-month forward rate is $1.85. a) Discuss whether you would consider hedging the exchange risk, how you would hedge using a forward contract, and your additional costs or savings if, in 3 months when the shipment arrived, the spot rate is $1.90, and you had hedged. Please Show all intermediate steps and work. b) Suppose you fail to hedge, but the British ale seller decides to cut you a break and only pass through half of the pound appreciation. Explain how this would work, calculate the pound appreciation (% in $/₤ rat... click for more

Trade liberalization

Discuss the following argument: Trade liberalization makes poor countries worse off because it displaces domestic production. It would be better to protect the fledgling domestic manufacturers from import competition in order to promote industrial development. (Note: trade liberalization refers to the removal of tariffs and other non-tariff barriers to trade.)

imports and factor prices

Hi, this is a 2 part question I would like to know the answer of. Since the mid 1980s Australia has been steadily reducing the level of protection on its imports. a) What are some of the models that predict the EFFECT that REDUCING PROTECTION OF IMPORTS will have on FACTOR PRICES? Briefly explain the effects shown by these models. Note: I am looking for at least 3 different models, unless there are only 2. (I am not sure how many models explain the above, although I know there are at least 2) b) How useful are these models in analyzing a country like Australia?

Models/Diagrams that show Effect on Factor Prices

International economics problem question, (not a real world research question, just a plain, brief "answer with diagrams" question) involving diagrams. I require at least 2 models (diagrams) that show the effect that reducing protection on imports will have on factor prices? Note: the factor prices can be "labour" and the "rental rate on capital". The models are in the context of the Heckscher-Ohlin world, they can be the Specific Factors model and the Stolper-Samuelson, or other possible models but I just need to see the actual diagrams that show the effect of reducing protection will have on factor prices.