Q: Briefly explain the four explanations of unemployment presented by the efficiency wage theory.
A: According to efficiency wage theory, you should pay your employees more than the market wage for the...
Q: correct, Alberta contains the second-largest known oil reserve, after Saudi Arabia. If the world c...
A: The correct answer is given in the second step.
Q: Larry receives a portion of his income from his holdings of interest-bearing U.S. government bonds. ...
A: An interest rate is the amount of interest due each period, given as a percentage of the amount lent...
Q: Why do you think technology is important in your studies?
A: Answer to the question is as follows:
Q: Aggregate price level LRAS SRAS AD Real GDP Yp Y1 potential output Reference: Ref 13-3 (Figure: Shor...
A: Given:- Equilibrium is attained at point E1 and X-axis shows Real GDP and Y-axis shows Aggregate pri...
Q: Q3: If you have the following data: price (8,4,5,6,7) and quantity (5,4,3,2,1) and the desired hypoc...
A: Here, the given data provides information about the price, quantity and desired hypocrisy of the peo...
Q: 1. Research into how this stories illustrates the impact of foreign influence on Veitnam. A. Post-C...
A: 1. Investigate how these stories depict the impact of foreign influence in Vietnam is
Q: Consider a second-hand car market with two kinds of cars, type A which are completely reliable, and ...
A: In the second-hand car market, both buyers and sellers have different information regarding the cond...
Q: The government decides to levy a lump-sum taxes by $50 billion which will reduce disposable income. ...
A: Lump sump tax A lump-sum tax is a type of taxation that is based on a fixed amount rather than the t...
Q: What did the National Environmental Policy Act accomplish? Briefly describe the origin and mission o...
A: Environmental economics is a branch of economics that deals with environmental issues. Because of gr...
Q: Part B On the same graph paper, draw the Supply Curve for the Supply Schedule below, after Anton dis...
A:
Q: Consider the supply and the demand in the market for loanable fund. If Mari purchased construction c...
A: If Mari purchased construction company’s stocks - This is added to supply side. If Mari borrowed to ...
Q: Assume the Federal Reserve has forecasted inflation over the next year to be over its target. Becaus...
A: Answer:- (a) making small changes in interest rates over time.
Q: Explain how and why GDP is not nescessarily a good measure of our economic well-being. You should pr...
A: GDP refers to the production of goods and services during an accounting year. it is assumed that mor...
Q: Abhishek's utility function is: U = min {2x– y, 2y – x} Which letter resembles Abhishek's indifferen...
A: Utility: - Utility is the satisfaction derived by any consumer from consuming a good or service.
Q: Fill in the blanks with the correct set of words to make the following sentence accurate. Due to the...
A: The COVID-19 pandemic had a huge and important economic effect on Canada, causing it to enter a rece...
Q: 3. Tyson Brothers Manufacturing is currently earning economic profit. However, the market for the m'...
A: The profit maximization condition is : P =MC.
Q: Discuss divergent views on population growth
A: Population growth:- The rise in the number of individuals in the population is known as population e...
Q: The real deficit is the nominal deficit adjusted for inflation's effect on the debt. [True or False...
A: The real deficit is the nominal deficit adjusted for inflation's effect on the debt. - TRUE
Q: Technological changes in telecommunications have: Select the correct option and explain why its corr...
A: An increase in efficiency of process or product that would result in an increase in the level of out...
Q: What is a problem of a government running a large Debt (e.g., debt/GDP ratio of over 100%)? Ques...
A: At the point when a government's consumptions on products, administrations, or move installments sur...
Q: 11. Which of the following is a common criticism of government price controls? a) They restrict the ...
A: In a market, governement generally use price control strategy to restrict the unfair pricing policie...
Q: Country A is a Solow economy with the following production function F(K, L) AK" L', with A and L exo...
A: At steady state, there is no change in capital per worker and steady state is reached where investme...
Q: An airport is located next to a banana farm. The airport can fly X planes per day, but the burning f...
A: In question it is stated that the airline creates pollution and the banana industry is affected by p...
Q: Define and give a concrete example of Locality development and Social Planning
A: To find : What is locality development and social planning with examples.
Q: If the federal government is running a surplus, Question 15 options: taxes must fall ...
A: Budget surplus It refers to a situation in which the expenditure of government is less than its reve...
Q: Consider a competitive, price-taking firm that employs only one variable input, labor, to produce a ...
A: a) Given the table, the maximum profit is when 8 units of labor are hired and 63 units of output are...
Q: Do you think the benefits of labor migration outweigh the problems and incidents that causes on the ...
A: The movement of people over a specific distance and from one "usual place of residence" to another ...
Q: 2. ENUMERATE SOME COMPARISONS AND CONTRASTS OF THE CONCEPT OF DEMAND AND CONCEPT OF SUPPLY. Give 5 e...
A: Demand and supply are two essential components of a market that determine the equilibrium quantity a...
Q: Refer to the information provided in Figure 13.7 below to answer the question(s) that follow. 16 15 ...
A: Firms can easily enter or exit a purely competitive market in the long run. In addition, pure compet...
Q: following is a total cost curve. Calculate and sketch the corresponding MC curve. If the price of ou...
A: TC = Total revenue MC = Marginal cost TR = Total revenue FC = fixed cost MR = Marginal revenue
Q: 8. A firm in a perfectly competitive market has a cost function C(Q) = Q + 128. What is the lowest p...
A: In the long run, the firms will continue to produce as long as it is not incurring losses. The lowes...
Q: BDO pays 8% simple interest on its savings account balances. BPI pays 7% interest compounded annuall...
A: For BDO it is given that Principal amount (P) = P5000 Interest rate (r) = 8% Time(t) = 10 years For ...
Q: Country C had made foreign investment in countries A and B. Country C had not received any investmen...
A: Measuring the national income is the macroeconomic term. GDP (Gross Domestic Product) is the monetar...
Q: Give two reasons why a central bank does not have complete control over the level of bank deposits ...
A: In an economy, it is generally said that the Centra bank has the complete control over the supply of...
Q: There will never be full employment in the Australian economy. Do you agree? Explain your answer
A: In an economy, full employment refers to the situation when economy is able to generate it's potenti...
Q: the demand (D), marginal revenue (MR), and marginal cost (MC) curves for the monopoly firm. Place th...
A: A monopoly firm produces at the intersection point of MR and MC curve. The output corresponding to...
Q: All of the following are determinants of demand except
A: To find : Which is not determinants of demand.
Q: Siven that the revenue function, R (x) = 26x - 2x and the cost function, C(x) = 6x + 20. Find %3D %3...
A: Profit refers to the difference between the total revenue and total cost. Profit = TR-TC.
Q: Describe the Emergencies Act. Why was it most recently used?
A: Describe the Emergencies Act. Why was it most recently used?
Q: Enumerate Similarities of the concept of demand and concept of supply.
A: The concept of demand says that at higher costs, purchasers will demand less of an economic goods. T...
Q: Identify the effect of recession in the economy on either demand or supply curve and the equilibruim...
A: Supply Side Recession A supply-side recession happens when an economy is driven into a downturn thro...
Q: Provide two examples of people or institutions that are negatively affected by unexpected inflation ...
A: Inflation is defined as the rise in the average price level of commodities and services in the econo...
Q: 50. If all inputs are trebled and the resultant output is doubled, this is а case of A. O Constant r...
A: Returns to scale is a long term concept which tells the response of output when the number of inputs...
Q: Horizontal inequality is one of the causes of armed conflict in developing countries. (T/F)?
A: The phenomena of unequal and/or unjust allocation of resources and opportunities among individuals o...
Q: Next week is Bob’s birthday and he will receive RM100.00 for his present. He saw a pair of jeans at ...
A: Here, it is given that Bob has RM100.00 from which he can either biy a pair of jeans or all other th...
Q: 46. Suppose the total cost of producing commodity X is Rs.125000. Out of this cost, implicit cost is...
A: To find : Explicit cost of commodity X.
Q: Alice has preferences described by utility function u(x1, x2)3(x1+2*x2)^0.5. Suppose that p1=4, p2=5...
A: The utility function is: U(x1,x2)= (x1+2*x2)0.5 Calculating the MRS: MRS= MUx1/MUx2 MUx1= 0.5(x1+2*x...
Q: 5. Provide answers for the each of the following independent questions. a. Suppose Auto Fitters sell...
A: Answer(A). Yes, the choice of contracts would allow the firm to differentiate between good and bad s...
Q: A Nash equilibrium occurs if all players in a game play their best strategies O a. given what their ...
A: Nash equilibrium is achieved at a point where no player can be made better off without making others...
Step by step
Solved in 2 steps
- Would you expect total utility to rise or fall with additional consumption of a good? Why?If people do not have a complete mental picture of total utility for every level of consumption, how can they find their utility-maximizing consumption choice?Take Jeremys total utility information in Exercise 6.1, and use the marginal utility approach to confirm the choice of phone minutes and round trips that maximize Jeremys utility.
- Jeremy is deeply in love with Jasmine. Jasmine lives where cell phone coverage is poor, so he can either call her on the land-line phone for five cents per minute or he can drive to see her, at a round—trip cost of 2 in gasoline money. He has a total of 10 per week to spend on staying in touch. To make his preferred choice, Jeremy uses a handy utilimometer that measures his total utility from personal visits and from phone minutes. Using the values in Table 6.6, figure out the points 011 Jeremys consumption choice budget constraint (it may be helpful to do a sketch) and identify his utility-maximizing point.The rules of politics are not always the same as the rules of economics. In discussions of setting budgets for government agencies, there is a strategy called closing the Washington Monument. When an agency faces the unwelcome prospect of a budget cut, it may decide to close a high-visibility attraction enjoyed by many people (like the Washington Monument). Explain in terms of diminishing marginal utility why the Washington Monument strategy is So misleading. Hint: If you are really trying to make the best of a budget cut, should you cut the items in your budget with tile highest marginal utility or line lowest marginal utility? Does the Washington Monument strategy cut the items with the highest marginal utility or line lowest marginal utility?Who determines how much utility an individual will receive from consuming a good?
- Praxilla, who lived in ancient Greece, derives utility from reading poems and from eating cucumbers. Praxilla gets 30 units of marginal utility from her first poem 27 units of marginal utility from her second poem 24 units of marginal utility from her third poem, and so on, with marginal utility declining by three units for each additional poem. Praxilla gets six units of marginal utility for each of her next three cucumbers consumed, five units of marginal utility for each of her next three cucumbers consumed, four units of marginal utility for each of the following three cucumbers consumed, and so on, with marginal utility declining by one for every three cucumber consumed. A poem costs three bronze coins hut a cucumber costs only one bronze coin. Praxilla has 18 bronze coins. Sketch Praxillas budget set between poems and cucumbers, placing poems on the vertical axis and cucumbers on the horizontal axis. Start off with the choice of zero poems and 18 cucumbers, and calculate the changes in marginal utility of moving along the budget line to the next choice of one poem and 15 cucumbers. Using this step-by-step process based on marginal utility, create a table and identify Praxillas utility—maximizing choice. Compare the marginal utility of the two goods and the relative prices at the optimal choice to see if the expected relationship holds. Hint: Label the table columns: 1) Choice, 2} Marginal Gain from More Poems, 3) Marginal Loss from Fewer Cucumbers, 4) Overall Gain or Loss, 5) Is the previous choice Optimal? Label the table rows: 1) 0 Poems and 18 Cucumbers, 2) 1 Poem and 15 cucumbers, 3) 2 Poems and 12 cucumbers, 4) 3 Poems and 9 Cucumbers, 5) 4 Poems and 6 cucumbers 6) 5 Poems and 3 Cucumbers, 7) 6 Poems and 0 Cucumbers.39. The following chart shows thec total utility-that Ammar receives from çonşuming various amounts-of chocolate.candy bars each day: Number candy, bars consumed për đay Total'utility 1' 40- 2 70 90 100 4. 80 Which of the following statements about Ammar's marginal utility is correct? Hiş marginal utility from the first candy bar is greater-than his marginalutility from the second candy' barQUESTION 34 Which of the following statements is false? O a. Marginal utility may be negative. Ob. If the more is better assumption is satisfied, the marginal utility from consuming the second unit must be greater than the marginal utility from cons Oc. If the more is better assumption is satisfied, total utility will increase as consumption increases. d. Marginal utility is the slope of total utility QUESTION 35
- Total utility is maximized in the consumption oftwo goods by equating thea. prices of both goods for the last dollar spenton each good.b. marginal utilities of both goods for the lastdollar spent on each good.c. ratios of marginal utility to the price of bothgoods for the last dollar spent on each good.d. marginal utility of one good to the price ofthe other good.DmISIIng Margifal Otmty n. TOTAL AND MARGINAL UTILITY Reset E UTILITY CALCULATIONS Total Utility Quantity Consumed Total Marginal Utility 70 Utility 60 50 22 40 1 22 30 18 20 40 10 14 2 3 4 54 Quantity Consumed 10 Marginal Utility 4 64 20 6. 10 70 3. 6. -10 6. 72 -20 -2 7 70 Quantity Consumed Quantity Consumed -6 8. 64 8 Prev 1 of 3 Score answer > ...stion 20 "When you refuse to drink one more cup of coffee, you are making the statement that the marginal utility of this additional cup is:" O Positive but increasing O Positive but decreasing O Negative O Zero
