From 11:00PM PDT on Friday, July 1 until 5:00AM PDT on Saturday, July 2, the Shmoop engineering elves will be making tweaks and improvements to the site. That means Shmoop will be unavailable for use during that time. Thanks for your patience!
How and why does the United States protect trucks and not cars?
Is a strong U.S. dollar good or bad for U.S. business?
Currently, U.S. corporations exporting products into other countries
pay corporate taxes in those other countries. For many corporations,
cash builds up on their balance sheet and remains in a bank in the
foreign country. Corporations would like to send their cash back to the
“mother ship” in the United States. Current tax law would tax that
“repatriation” of cash as a second set of profits. Is this second taxing
a good idea or a bad idea? If it remains in place, what is the effect
on corporate spending?
Is China’s reluctance to protect U.S.
copyright laws the result of a different understanding of what
intellectual property is, a reflection of bad ethics, or an economically
driven incentive for the Chinese mob?
If China owns a major
portion of U.S. foreign debt, is that good or bad for U.S. companies
doing business with China? Do we care who owns our debt?
United States currently does not have a commercial trade agreement with
Korea and many Latin American countries. Do you believe this is because
a. we are an ethically sensitive country that will only do business with those who respect our notion of human rights? b. this prohibition is in the best economic interest of all Americans ? c. this prohibition is in the best interest of American unions?
Regulations for banks outside of the United States remain meaningfully
“looser” than the financial regulation recently passed in Congress. This
Act makes U.S. banks less competitive with overseas clients. Are the
financial regulations good law? What are the pros and cons?
Greece recently went effectively bankrupt. Why did the stock market drop
$2 trillion in value in the United States because of Greece's troubles?
The cost to bail out Greece will be roughly the same as the cost to
bail out California. Should we bail out California? Take the perspective
of a resident of North Dakota, whose state manages a balanced budget.
Then take the perspective of a California municipal bond holder.
Compare and contrast the policies of Yahoo! and Google in China.
Yahoo! capitulated to government queries, turning over the personal
identities of bloggers and journalists who may have been critical of
Chinese human rights policies. This act of capitulation likely saved
Yahoo! $.15 of earnings per share in Q3 of 2008. Was it worth it to
shareholders? b. Google took the opposite tack and essentially
withdrew operations from China for similar government intervention. This
withdrawal cost Google roughly 10% of the market value of its stock
over a ten-week period. Was it worth this decision worth it to
The United States is the only country
that taxes its expatriates incrementally from their domestic tax
obligations. An earner making $200,000 as an expat living in Prague
makes only $80,000. Evaluate this policy as
a. A graduating student hoping to get a job in Prague b. A company operating in Prague having to decide whether to hire an American or Czech graduate.
Should we legalize importing of marijuana from Mexico?
Which if any of these policies should be adopted?
a. Anybody who pays $3,000,000 or more in all cash for a home in the United States is automatically granted citizenship. b.
Anybody who has a college degree from an accredited school in
engineering or computer science is offered citizenship in the United
Rolex watches continue to be a dominant brand
in the luxury watch market. Rolex is a Swiss company that gets no
tariff protection from either Switzerland or the United States. They
have simply “earned” their position as a high-margin luxury watch
manufacturer and distributor. Who else is in Rolex’s league?
Describe how the NFL could go international. Compare their efforts with
that of the NBA, the MLB in Japan, and soccer as a U.S. import.
Should cross-border gambling be allowed on the internet?
Why have the German car makers "suffering" under vast union ownership
been so effective as exporters of their cars around the world?
You are the owner of an NFL team. You lose $20 million per year. Your
bank lines are fully tapped, and you need to find a way to bridge that
gap. On for a small growth budget, explain how you market a new team.
You are the new CEO of GM. Your union contracts almost certainly
guarantee bankruptcy in 10 years. Your government loans require payback
over the same time period, and there is little hope that they will be
renewed on more favorable terms under a Republican Administration. What
do you do?
a. Begin dismantlement of the company to
service the bondholders at the price of the equity holders. In this
scenario people who have loaned money to GM likely get paid back, but
the common equity owners likely get next to nothing. b. Paint a rosy picture of union-built cars in the United States, and raise money from the buying public in an IPO. c. Migrate into the auto lending and credit industries, forsaking focus on making new cars. d.
Adopt a radical new strategy in being 100% green by 2015. GM can stand
for “Green Motors” after having been demoted to Colonel Motors.