Elucidate the effect on prices and output

Assignment Help Business Economics

Reference no: EM1358143

Q. explain with an aid of a diagram , the effect on prices and output if households decide to spend a large share of their income

Q. Suppose an individual's whose utility function is given by
U(x, y) = 4x + 2y

a. Give two other bundles that, with this utility function, the provide the same utility as bundle (3,2).
b. What is the MRS for this utility function? Explain in 2-5 sentences.

Reference no: EM1358143

Questions Cloud

Compute interest amount : Data Back-Up Systems has obtained a $10,000, 90-day bank loan at an annual interest rate of 15 percent, payable at maturity. Suppose 365 day year.

Type of network provides limited access to corporate data : Which type of network provides customers with limited access to corporate data such as inventory, parts lists, and orders?

Improvements for operations improvement plan : Identifying Process Improvements for Operations Improvement Plan - Problem statement: What exactly needs to be improved?

Distributing sales and properties to shareholders : The corporation owns a building with a $160,000 adjusted basis and a $120,000 fair market value. The company has earnings and profits of $200,000.

Elucidate the effect on prices and output : Elucidate with an aid of a diagram , the effect on prices and output if households decide to spend a large share of their income.

Role of medication in treatment of the disorder : We have discuss the role of medication in treatment of this disorder. Once the disorder presents itself, what benefit is there, if any, of psychotherapy?

Risk and return-bond income-capital gain : John Haven purchased a bond for $9,500. The bond pays $300 interest every six months. If John decides to sell the bond after 18 months for $10,000 what would be his:

Whose viewpoint should an organizational purpose be from : clarification of organizational purpose, whose viewpoint should the organization reflect - the owners, stakeholders, employees, members of the general public or customers?

Return characteristics of a portfolio : Define the following and give an example: Risk - Return - Risk Preferences and describe in terms of correlation and diversification the risk and return characteristics of a portfolio.

User Account

All Pages