Reference no: EM131071544
Consider a small barter economy with only two individuals, John and Mark. John’s preferences for the two available goods (x and z) are given by:
UJ (x, z) = min(x, z), while Mark’s preferences are given by: UM(x, z) = x + z. There are a total of 10 units of each good available and the initial allocation of goods gives all of x to Mark and all of z to John.
(a) Draw the Edgeworth box for this economy including example indifference curves for each individual and the initial allocation of resources.
(b) In your Edgeworth box, identify all of allocations that represent Pareto improvements over the initial allocation.
(c) What would be the contract curve in this case and, assuming both individuals are rationale, where along the contract curve would bargaining lead the economy?
(d) If prices were introduced into the market, what would Px Pz be (and why)?
|
Can the lender have a valid reason to sue the defaulter
: If a money-lender charges an interest rate that is abnormally high the country's law rate and a borrower defaults payment, can the lender have a valid reason to sue the defaulter
|
|
Two firms that produce sulfur dioxide emissions
: Suppose there are two firms that produce sulfur dioxide emissions, Firm A and Firm B. Each firm emits 30 tons of sulfur dioxide per year. The cost of reducing one ton of sulfur is $200 for Firm A and $250 for Firm B. If Firm B emits 60 tons of sulfur..
|
|
Identify the staffing needs required to execute your plan
: Explain a plan for addressing the challenge or opportunity and how it will improve public health - Identify the staffing needs required to execute your plan.
|
|
Explain the term business process
: Explain the term Business process re-engineering and outline three features?
|
|
Represent pareto improvements over the initial allocation
: Consider a small barter economy with only two individuals, John and Mark. John’s preferences for the two available goods (x and z) are given by. Draw the Edgeworth box for this economy including example indifference curves for each individual and the..
|
|
Sherman act
: The growers sued for the treble damages available under the Sherman Act. CAN THEY RECOVER
|
|
Standards in the field of operations management
: Question 1: Discuss the value of standardization and standards in the field of operations management.
|
|
Precision the future of the market
: The company could also commission a $20,000 survey that can predict with more precision the future of the market. If the survey predicts a favorable market (you may still use the 60% probability for this), the market will be be favorable with a 80..
|
|
Analyze what changes are needed in hrd procedures
: Bring in information from readings and research to help strengthen and validate your response - Discuss the process you would follow and why you selected those process steps.
|