108年 - 108 國立臺北大學_碩士班一般入學考試試題_國際企業研究所：經濟學#147106

I. (50%)
1. A monopolist uses one input, X, which she purchases at the fixed price r=2 to produce her output, Q. Her demand and production functions are p=80-2q and q=3√x, respectively. Please determine the values of p, q, and x at which the monopolist maximizes her profit. (25%)

2. Assuming that Mr. Lee consumes three goods- hot dog, cake, and automobiles. Denote the quantities of these goods consumed by X₁, X₂, and X₃, respectively. Suppose that Mr. Lee's utility function is given by U = 5 logX₁ + 4 logX₂ + log(0.1 + X₃), that the prices of the goods are given by P₁ = $1, P₂ = $2, and P₃ = $2000, and that his total income is $9000. Note that automobiles must be bought in discrete units (that is, X₃ must equal 0, 1, 2, and so on). Given these constraints, how will he allocate income so as to maximize utility? And what is the maximized utility Mr. Lee gains from this simple model? Please round your answers off to 2 decimal places. (25%)

1. Please explain export-biased growth and import-biased growth for China, respectively. (10%)

2. Please define the terms of trade for the U.S. and explain its relationship with the U.S. national welfare. (10%)

3. Based on the concepts of 1 and 2, is economic growth in China good for the national welfare in the U.S.? (10%)

4. Please find a theoretical argument for U.S. government to support the trade policy that The United States imposes the \( 25\% \) and \( 10\% \) tariff on steel and aluminum, respectively. Please also find a theoretical argument which does not support the U.S. trade policy that it imposes the \( 25\% \) and \( 10\% \) tariff on steel and aluminum, respectively. (10%)

5. Due to the fact that Taiwan has a close trading relationship with both U.S. and China, please graphically analyze the effect of the U.S. import tariff imposed on China steel and aluminum on the price level, the exchange rates, imports and exports in Taiwan. Is it good or bad for Taiwan economy? (10%)