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The assumed rationality of consumer decision making, upon which the models largely rely, has been brought into question. In the 1980's researchers began to question the rationality of many consumer actions (Erasmus,Boshoff et al. 2001). It was found that consumers frequently engaged in non-conscious behaviours that might not be well modelled through a rational information processing approach (Bozinoff 1982, Erasmus,Boshoff et al. 2001). Other writers have found consumer behaviour in certain circumstances that appears haphazard, disorderly or opportunistic (Erasmus,Boshoff et al. 2001).
What depicts the general unreliability of these observations?
Differentiate between pareto optimality and social optimality. Which one is more sensitive to the general economic welfare?
The question belongs to economics, mainly to macroeconomics and it is describe the long term Federal government budget problems is discussed in the answer.
The Charlotte Bobcats, a professional basketball team, has been offered the opportunity to purchase the contract of an aging superstar basketball player from another team. The general manager of the Bobcats wants to analyze the offer as a capital ..
If the demand for money depends positively on real income and depends inversely on nominal interest rate, determine what would happen to the price level today if the central bank declares.
Suppose a consumer buys 10 units of good X and 20 units of good Y every year. The following table lists the prices of goods X and Y in the years 2005-2007. Assume that these two goods constitute the typical market basket. Calculate the price indices ..
Use an aggregate supply-and-demand diagram to show that multiplier effects are smaller when the aggregate supply curve is steeper. Which case gives rise to more inflation—the steep aggregate supply curve or the flat one?
What is opportunity cost? Explain with the help of an example, why assumption of constant opportunity cost is very unrealistic? Explain law of demand with the help of a demand schedule and demand curve.
Suggest at least two (2) options that could be made available to provide disaster management functions for the database system within the retail environment
Suppose we consider the woman's labor market experirnce EXPER and its square EXPER2 , to be instrumental for WAGE . Explain how these variables satisfy the logic of insrumental variables
How did the Bretton Woods system operate? What caused its collapse? Some think the current system of managed but floating rates is too unstable.
1. Should PJ be increased or decreased to maximize revenue? How do you know? 2. Calculate the elasticity of demand for Joy's beer with respect to PC, T, and AC. 3. Calculate the price range over which the demand for Joy's beer is price elastic.
What is the probability that the first spin lands on blue and the second spin lands on gray? Write your answer as a fraction in simplest form.
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