Law of diminishing marginal utility

Assignment Help Business Economics

Reference no: EM131094721

An important law in economics is the “Law of Diminishing Marginal Utility”. Discuss what this law is and provide an example of diminishing marginal utility you’ve encountered recently.

Reference no: EM131094721

Questions Cloud

Government expenditures as either a transfer payment : Classify each of the following government expenditures as either a transfer payment or a purchase of goods and services. Which ones clearly tend to decrease the inequality of income distribution?

Attribute the difference to the effects of unionization : In trying to measure the extent to which labor unions are responsible for increasing wages, economists use sophisticated statistical methods to compare the wages of unionized workers with those of non-unionized workers. Explain why it is not legitima..

Equal pay for work of equal value : “Equal pay for work of equal value” is a commonly held goal, but “equal value” is hard to define. What would be the consequences of legislation that enforces equal pay for what turns out to be work of unequal value?

Pros and cons associated with a cap-and-trade program : Identify some pros and cons associated with a cap-and-trade (CAP) program. Does its implementation increase costs? Is it appropriate to describe CAP programs as merely a way for "big business" to buy their way out of meeting environmental compliance?

Law of diminishing marginal utility : An important law in economics is the “Law of Diminishing Marginal Utility”. Discuss what this law is and provide an example of diminishing marginal utility you’ve encountered recently.

Explain why the mixed strategy is logical nash equilibrium : Explain why the mixed strategy is a logical Nash equilibrium, even though intuitively it seems like the worst thing that two friends could do. Explain what a best-response function is.

Economy is experiencing a sharp rise in the inflation rate : Suppose that you are a member of the Board of Governors of the Federal Reserve System. The economy is experiencing a sharp rise in the inflation rate. What change in the federal funds rate would you recommend? How would your recommended change get ac..

Should the company charge to maximize profits : A company's marketing department has determined that if their product is sold at the price of p dollars per unit, they can sell q=1800−200p units. Each unit costs 7 dollars to make. What price, p, should the company charge to maximize their revenues?..

Increase in riskiness of bonds relative to holding money : Show the IS, LM or FE curve shifts in response to the following events. Note we are not analyzing general equilibrium here, just the shifts of the individual curves. Increase in the riskiness of bonds relative to holding money

User Account

All Pages