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Resource transfers
In order to maximize society's happiness, we must free up resources which are in lower valued uses and allow them to go to higher valued uses.
1)Explain and elaborate on this concept.
2)How can this concept be applied to the activities of profit making companies and profit loosing companies or to the revenue and costs components of a firm's net profit?
3)Does this mean every activity that loses money decreases society's happiness, and any activity that makes money increases society's happiness?
4) How can this concept be applied to the "welfare gains from trade" concept in international trade ?
Expalin how can inflation derail the economy from its growth path.
Describe which is elastic and inelastic in the attached question and also how to arrive at the answer for this question:
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Most practitioners presently update MRP weekly or biweekly. Would it be more valuable if updated daily, or even on a real-time basis.
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Should price rise for products in demand be allowed during extreme times of demand.
Now assume the government increases spending, reducing the country's savings rate based upon this change. What is the effect on the government spending on the economy.
Calculate the price elasticity of demand for paint and Illustrate the calculations.
Explain how the aggregate expenditure function shifts in response to the changes in each of the following variables:
Elucidate why, at one point in time, a Keynesian approach to managing the macro-economy might be appropriate while, at another point in time, a classical approach might be more likely to produce a superior outcome.
Describe the maximum insurance premium that the individual is prepared to pay.
Two articles Fed Official Expects Growth also Are Inflation Expectations Rising from the Ashes. Illustrate what exactly is the Federal Reserve.
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