Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q. Consider an economy with no production. The economy is endowed with 50 bushels of alfalfa, a, and 50 bushels of barley, b. Two individuals, Mary and Larry, live in this economy and have the usual convex, negatively sloped indifference curves. Larry has an initial endowment with 50 bushels of alfalfa and no barley. Mary has no alfalfa and 50 bushels of barley. This initial endowment is not on the contract curve. At the initial endowment, Larry's utility function is U(a,b) = b + 2a and Mary's is U(a,b) = 2b +10a
(a) If Mary offers a trade whereby she would give Larry three of her barley for one of his alfalfa, would Larry accept? Explain briefly. Illustrate your answer with an Edge worth diagram. Show, on the same diagram, the set of efficient trades these individuals would rationally make.
(b) Now introduce prices. One of the points on the set of efficient trades you illustrated in your diagram will be a competitive equilibrium. Show such a point and illustrate the equilibrium price ratio pa / pb.
What effect did the tax have on LeAnn's output level. How LeAnn's did profits change.
What is the probability that it will take a worker between 6 and 10 minutes to complete the task
Identify 3 types of competition that most firms encounter other than competition from other firms in their industry in their home nation.
Illustrate what would the peso-dollar exchange rate be if purchasing-power parity holds. Explain how can the organization use technology to change this balance for an advantage.
Does your firm have a dominant strategy? Does firm 2? If so, indicate what this strategy is for each. Given b., find the Nash Equilibrium outcome (actions, payoffs) for the one-time interaction.
If the company expects to spend $50,000 in the first year of this improvement program, how much of a yearly increase in the cost of the program is the company expecting?
Elucidate what will happen to equilibrium cost and quantity of satellite TV service if wages of workers who provide satellite TV service increase while at same time cost of cable television service.
Explain how much he finishes up paying each provider every month. Explain how much customer extra he obtains with each provider.
q1. beer n pizza is complements because they are often enjoyed together. when the price of beer rises what happens to
Find out the marginal revenue also the marginal cost functions and show them graphically. Find the monopolist's price, output, profit, and the price of the cost margin.
Illustrate the effect of capital formatin by comparing the production possibility curves, at the present time and ten years in the future, for two economies, one with a high and the other with a low rate of capital formation.
Show whether or not the above production function exhibits diminishing marginal productivity of labor. Determine the nature of the Return to Scale as exhibited by the above production function.
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd