Reference no: EM131381390
1. (a) What is the conceptual difference between a choice based on the maximization of a single objective versus a choice based on maximization with two or more objectives. Illustrate the difference by making up a specific example where a decision maker is making a choice (i) with multiple objectives, (ii) with a single objective.
(b) Finally, suppose there are two potential objectives, but this particular decision maker cares only about one of those objectives and not at all about the other. Draw a diagram with the amounts of each objective on the axes, and then show what his indifference curves look like.
2(a) How does a corner solution to the consumer's utility maximization problem differ from a standard, interior solution?
(b) Describe some types of preferences that can lead to a corner solution. What is the shape of the indifference curves? What happens to the marginal rate of substitution in those cases?
(c) A consumer is at a corner solution - he buys meat, eggs, and vegetables, but no fish. The price of fish rises. Will this change his consumption of fish? The price of fish falls. Will this change his consumption of fish? In each case, draw an appropriate diagram to illustrate your answer
3. The Stone-Geary utility function is derived from, but different than, the Cobb-Douglas utility function. In what key way do Stone-Geary preferences differ from Cobb-Douglas preferences? If you could observe the demand functions of a consumer, how does the demand function differ if the consumer had Stone-Geary preferences versus Cobb-Douglas preferences?
4. (a) Write down the equation for a demand function for coffee giving the quantity of orange juice consumed per month (x) as a function of the price of orange juice (po), the price of milk (pm) and household income (y), where the own-price elasticity of demand for orange juice, the cross-price elasticity of demand with respect to the price of milk, and the income elasticity of demand are each constant (i.e., do not vary at different levels of price, income or consumption). (b) Suppose the own-price elasticity of demand varies with the number of children in the household (z) - the more children, the lower the price elasticity of demand. Modify the equation you provided in (a) to accommodate this.
Create an overview on ifrs
: Review the financial reports and notes of the company you have chosen from the EDGAR Web site. Using this company as your point of reference, provide general information on the following questions: Create an overview on IFRS
|
Completely interpret and explain the findings
: The results of a two-factor analysis of variance, with interaction of factors, is given below. Completely interpret and explain these findings.
|
What are some of the key routines in your program
: What are some of the key routines in your program? How do you and your colleagues learn from families about their home routines and incorporate that knowledge into program practices? If you don't, why not?
|
Write off the equipment as a sunk cost
: a. Keep the equipment in use, because it cost $20,000 and simply discarding it would greatly reduce the return on that particular investment b. Write off the equipment as a sunk cost and allow for outsourcing since it is cheaper c. Only consider ou..
|
Conceptual difference between a choice
: What is the conceptual difference between a choice based on the maximization of a single objective versus a choice based on maximization with two or more objectives. Illustrate the difference by making up a specific example where a decision maker ..
|
What’s the margin of error for this interval
: If the researcher had calculated a 99% confidence interval, would the margin of error be larger or smaller? Explain.
|
Current equilibrium price for american cheese
: Suppose the current equilibrium price for American cheese is $1.00 per pound. Suppose the French suddenly develop a preference for American cheese. Explain the impacts of this unlikely development on all the relevant markets.
|
How you will ensure humans protection
: Using your evaluation plan, discuss how human subjects will be used and how you will ensure their protection, informed consent, and confidentiality.
|
How does an organization become an s corporation
: Your client has been informed that an S corporation is a popular business form and wants to know more about it. Please write a professional memo to your client responding to his inquiry. What is an S corporation? When is it advisable to be taxed as..
|