Opportunity cost to demonstrate potential for gains

Assignment Help Business Economics
Reference no: EM13770609

Propose a numerical and graphical example of 2 agents w/ constant opportunity cost to demonstrate potential for gains from trade. be sure to explain the opportunity cost of the two goods for each agent, who has the absolute and comparative advantage in each good.

Reference no: EM13770609

Questions Cloud

Consumer might want the goods a firm produces : The fact that a consumer is not required to buy the goods that a given firm produces, as well as the fact that the consumer might want the goods a firm produces, but may choose to buy from other firms instead.
An increase in the reserve requirement : An increase in the reserve requirement would:
What is the dead weight loss : A profit-maximizing monopoly has pricing under the following conditions: the price charged for goods produced is $15, the intersection of the marginal-revenue and marginal-cost curves occurs where output is 105 units and marginal revenue is $10, and ..
Foreign -exchange is considered to be derived schedules : The supply and demand for foreign -exchange is considered to be derived schedules. Explain and give examples.
Opportunity cost to demonstrate potential for gains : Propose a numerical and graphical example of 2 agents w/ constant opportunity cost to demonstrate potential for gains from trade. be sure to explain the opportunity cost of the two goods for each agent, who has the absolute and comparative advantage ..
Another by strong departmental or divisional lines : When units at MNO International are isolated from one another by strong departmental or divisional lines, it refers to
Contribute to the emergence of which type of conflict : If John and Jose are not able to recognize and respect cultural differences, they may contribute to the emergence of which type of conflict?
Impact of free trade on domestic job creation policy : International trade has pros and cons. Economists generally support free trade. International trade has played a significant part in promoting economic development and technology transfer among countries.
Find the monopolist price and quantity : Suppose a monopolist has cost curve C(q) = 10 + 3q + 0.1q 2 and faces demand q = 12 ? p. Find the monopolist price and quantity. Return to the situation in (a) with only one market. What would be the monopolist profit?

Reviews

Write a Review

Business Economics Questions & Answers

  What is the probability that the next customer pays

What is the probability (±0.001) that the next customer pays at least $30? What percent of customers who pay at least $30 pump premium? % (Round your answer to the nearest whole number.)

  The discipline of macroeconomics developed

The discipline of macroeconomics developed during the: Keynesian economics focuses on situations in which:  Macroeconomic policies are designed to address:  Keynes asserted that the Great Depression could be ended by: To the extent that there is vola..

  Identify five activities you do to enhance production

Identify five activities you do to enhance production (but not counted as cost of production at moment) which should actually be counted as part of your implicit cost.

  Production technology-what is break-even price

Suppose you have a production technology that can be characterized by a learning curve. Every time you increase production by one unit, your costs decrease by $6. The first unit costs you $64 to produce. If you receive a request for proposal (RFP) on..

  Elasticity conditions

Increasing the minimum wage will result in a decrease in employment for workers who now earn less than the new minimum wage.

  Discuss an industry that would meet the conditions

Discuss an industry that would meet the conditions of a perfectly competitive industry and how the individual firms would respond to an increase in the market demand for the product.

  Describe the rationale behind arriving at figures

Describe the rationale behind arriving at figures for the natural rate of unemployment, stable prices, and sustainable economic growth.

  Draw the indifference curve and budget line

Joe subscribes to an Internet provider that charges $2 per hour. He has $100 per month to spend and is at equilibrium by buying 10 hours of Internet access and $80 worth of other goods. Draw the indifference curve and budget line. If the company swit..

  Construct a game that represents the entry decision

Evaluate the effect of each of these four changes on demand based on the estimates provided and what is the net effect of all the changes taken together

  Which plan do you think is more desirable

Compare and Contrast the features of the retirement plans offered by Creative Games and United Manufacturing. Which plan do you think is more desirable? Why?

  Show on a supply-and-demand diagram

Show on a supply-and-demand diagram and explain in words what will happen to the Canadian exchange rate compared to the foreign exchange rate when the world demand for lumber, wheat, and paper increases.

  You are given the following functions in a fully

you are given the following functions in a fully competitive marketmarket demand function qd 20 - 3p market supply

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!

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