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Suppose Roberta's only consumer choice is to pick the optimal amount of blue pens and black pans. No matter what combination of blue and black pens Roberta is holding, she is always willling to give up one black pens for two blue pens.
a. What is a utility function that describes Roberta's preference?
b. Illustrate an indifference curve that gives every bundle that Roberta trets as being exactly as good as when she has 5 black pens and 5 blue pens.
The price of a new iTab computer is $500. It is known that a fraction d of the iTabs are defective. All consumers value the non-defective computers at $550 each. The same model of second-hand iTab can be found on eBay for $50, which includes shipping..
Assume that a country has a fixed exchange rate, but that the rate is above the rate that would occur if the central bank did not intervene to maintain it. That is that the desired "e" is greater than the "e" that would occur without central bank int..
If she neither borrows nor lends, which project has the higher present value at the interest rate 50%. Which has the higher present value at an interest rate of 5%.
How would each company determine the location of their facilities? List the specific needs and requirements of each company when determining location.
During the past year, gasoline prices have been very volatile. One reason given for at least some of the volatility is the threat of war between Israel and Iran. More recently, there has been a report of serious fire damage to Venezuela's largest ref..
What would be the equilibrium price? What is the equilibrium quantity?
Price elasticity of demand is 1.5 and a firm raises its price by 20 percent the quantity sold by the firm will ceteris paribus.
Discuss the social and economic effects of colonization? How did it contribute the “Price revolution”?
Identify and briefly explain in your own words three specific macroeconomic topics or ideas that you found to be the most important and/or most interesting. Be specific, and explain.
In the 1970s, information technology was primarily concerned with _______, while today information technology is the focus.
Now allow Foreign and Home to trade with each other, at zero transportation cost. Find out and draw a graph of equilibrium under free trade.
In a two paragraph summary, explain WHY countries trade and what the importance of international trade is between countries. A. Your summary should include the following concepts:
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