User Account

All Pages

Explain the concept of consumer equilibrium

Assignment Help Business Management
Reference no: EM131277635

1. A.  Explain how one derives (gets) the indifference curves from a 3-dimensional utility function. Draw a graph and explain. Which principle explains the concave shape of the utility function? Why?

B. Explain the concept of Consumer Equilibrium.  How does it relate to utility maximization?  Draw a graph and show where consumer equilibrium occurs.  Write down the equation that holds at the consumer equilibrium.

C. Explain how one can derive (get) the Law of Demand from Consumer equilibrium.

D. Assume that there are 2 goods, X and Y and P(X) = $20 and MU(X) = 100, and p(Y) = $50.  Assuming that the consumer is currently maximizing her utility, compute MU(Y). 

SHOW THE EQUATION YOU USE AND SHOW YOUR COMPUTATION.

2. A. Define and explain Short Run cost curves (TOTAL, AVERAGE AND MARGINAL COST CURVES).  DRAW GRAPHS AND LABEL EACH CURVE ON THE GRAPH. Explain the "law of diminishing returns". State the economic reason behind it.

B. Explain the Long Run Average Total Cost curve. Explain the concepts of Economies of Scale; Constant Returns to scale; Diseconomies of scale. Draw a graph.

3. A. "The second hamburger tests as good as the first hamburger". Which principle does this statement violate? WHY? Explain briefly.

B. "The more I eat, the hungrier I get". Draw the Utility function for this statement. Which is the shape of the Utility Function in this case?

4. A. Explain why the Marginal Cost curve (MC) cut the Average Total Cost curve at the lowest (minimum) point. Use the example of GPA and Semester Average to explain it.

B. Draw the TC = TFC + TVC curves. Explain why the shape of the TC curve is concave first and becomes convexlater: STATE THE REASONS BEHIND THESE SHAPES. (Note: you need to state 2 reasons).

Reference no: EM131277635

Questions Cloud

Describe evolution of inequality in a country of your choice : Describe the evolution of inequality in a country of your choice (The preferred country of discussion is South Africa or Nigeria but generally you can use any country except USA, CHINA, GERMANY and UK).
Why the inclusion of opportunity costs in cost-and-supply : Provide one example, from Ford Motor Company, illustrating why the inclusion of opportunity costs in cost-and-supply analyses would be able to help individuals make better decisions and improve outcomes.
Explain what are gains and losses of international trade : What are the gains and losses of international trade? What happens when tariffs are imposed, in terms of the importing and exporting countries? Use graphs as needed and explain your answers thoroughly.
What is the reaction to waynes article : Wayne LaTorte is a safety engineer who works for the U.S. Postal Service.- What is your reaction to Wayne's article?
Explain the concept of consumer equilibrium : Explain the concept of Consumer Equilibrium.  How does it relate to utility maximization?  Draw a graph and show where consumer equilibrium occurs.  Write down the equation that holds at the consumer equilibrium.
In companies that have multidepartment processes : In companies that have multidepartment processes there is one component of costs that may or may not exist in downstream departments that is present in the first upstream department. Identify this cost and explain why this is.
Discuss how you would modify your current job : Discuss how you would modify your current job (or a former job) to provide a more satisfying job experience. Choose one of these 3 methods: job rotation, job enlargement, or job enrichment and give an example of the modification.
Explain how a manager can reduce communication : Differentiate between environmental and personal barriers to communication.
What is the flowrate per width of the channel : If the water surface dips a distance of 0.07 m for the conditions shown, what is the flowrate per width of the channel? Assume the velocity is uniform and viscous effects are negligible.

Reviews

Write a Review

Business Management Questions & Answers

  Caselet on michael porter’s value chain management

The assignment in management is a two part assignment dealing 1.Theory of function of management. 2. Operations and Controlling.

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. Due to increase in the preference for light beer drinkers, Chris Prangel wants to introduce light beer version in Mountain Man. An analysis into the la..

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. An analysis into the launch of Mountain Man Light over the present Mountain Man Lager.

  Analysis of the case using the doing ethics technique

Analysis of the case using the Doing Ethics Technique (DET). Analysis of the ethical issue(s) from the perspective of an ICT professional, using the ACS Code of  Conduct and properly relating clauses from the ACS Code of Conduct to the ethical issue.

  Affiliations and partnerships

Affiliations and partnerships are frequently used to reach a larger local audience? Which options stand to avail for the Hotel manager and what problems do these pose.

  Innovation-friendly regulations

What influence (if any) can organizations exercise to encourage ‘innovation-friendly' regulations?

  Effect of regional and corporate cultural issues

Present your findings as a group powerpoint with an audio file. In addition individually write up your own conclusions as to the effects of regional cultural issues on the corporate organisational culture of this multinational company as it conducts ..

  Structure of business plan

This assignment shows a structure of business plan. The task is to write a business plane about a Diet Shop.

  Identify the purposes of different types of organisations

Identify the purposes of different types of organisations.

  Entrepreneur case study for analysis

Entrepreneur Case Study for Analysis. Analyze Robin Wolaner's suitability to be an entrepreneur

  Forecasting and business analysis

This problem requires you to apply your cross-sectional analysis skills to a real cross-sectional data set with the goal of answering a specific research question.

  Educational instructional leadership

Prepare a major handout on the key principles of instructional leadership

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd