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1. What is the difference between a desirable and a undesirable functional dependency? Describe the nature of the problems caused by undesirable functional dependencies.
2. What prevents us from simply ignoring undesirable functional dependencies?
Price Quantity Demanded $200 1000 $150 1400 $100 1800 If price falls from $200 to $150, Arrows representing the price and quantity effects both point down. An arrow representing the price effect points down and is longer than an arrow for the quantit..
Why are indifference curves convex to the origin? Explain what Marginal Rate of Substitution (MRS) means? When wouldindifference curves be linear, vertical or horizontal?
At the same time some internet trades such as grocery home deliveries have continually suffered steep losses regardless of scale.
Jason is faced with two options: A BMW costing $40,000 gives him an additional 800 units of utility, and a laser printer costing $1,000 gives him an additional 25 units of utility. Rational choice theory would predict that he would choose:
Social Welfare: A social planner has decided to allocate income between two people so as to maximize the sum of utilities of persons 1 and 2 (W = U1 + U2). Determine the marginal rate of transformation of person 1’s income into person’s 2’s income, i..
In his State of the Union speech in January, 2012 (and throughout the following campaign), President Barack Obama stated, “We’ve brought trade cases against China at nearly twice the rate as the last administration –- and it’s made a difference. Over..
Suppose there is an options market in SO2 permits, where each permit entitles one ton of SO2 emissions. Suppose that running a scrubber costs $65 per year per ton of SO2 removed, has a capital cost of $30,000,000, and an expected life of five years. ..
"No firm is completely sheltered from rivals; all firms compete for the consumer dollars. If that is so, then pure monopoly does not exist." Do you agree? Explain. How might you use Chapter 6's concept of cross elasticity of demand to judge whether m..
Please analyze a current events article which deals with a highly competitive industry in a field such as technology, medicine, or manufacturing. Your analysis should include the factors driving change in the industry. Explain if there is the potenti..
Unlike train and bus travel, there are no discount for students or retired people for airline tickets. Why airline companies do not give discount to students? As a student with low income, what are your strategies to find the cheapest ticket based on..
Suppose that capital per hour of work grows by 3 percent and technology grows by 1 percent over a one year interval. What is the growth rate of real GDP per hour of work? Show the formula and all work. To understand what causes productivity growth, w..
Which type of unemployment would be affected with the following changes? Would it go up or down? a. increased unemployment benefits b. heavy snowfall in Minnesota c. online job search becomes more effective d. a large, permanent decrease in the deman..
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