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Q. To keep gasoline expenses, Edith as well as Mathew agreed to carpool jointly for traveling to as well as from work. Edith preferred to travel on I-20 highway as it was frequently the fastest, taking 25 minutes in absence of traffic delays. Mathew pointed out that traffic jams on the highway can lead to long delays building the trip 45 minutes. He preferred to travel along Shea Boulevard, that was longer about 35 minutes, whereas rarely had traffic jams. Edith decided that in case of traffic jams, Shea Boulevard was a sensible alternative. None of them identify the state of the highway ahead of time. After driving to work on the I-20 highway for 1 month (20 workdays), they establish the highway to be jammed 3 times. Assuming that this month is a good demonstration of all months ahead, should Edith as well as Mathew prolong to use the highway for traveling to work?
Explain how would you conclusion vary for winter months, if bad weather formulate it likely for traffic jams on the highway to increase to 6 days per month?
How would your conclusion vary if Mathew purchased a new smart-phone app that could show the status of the highway traffic prior to their drive each morning, thus reducing the probability of them getting into a jam down to only 1day for every month?
Explain and illustrate with diagrams the differences between diminishing marginal returns and decreasing economies of scale and cite causes and examples.
Define adverse selection in a general way and then provide a more specific definition of adverse selection in an insurance market and explain how adverse selection manifests itself and becomes a problem in insurance markets.
Considering political disposition as an axis of product differentiation does vertical or horizontal differentiation best categorize it.
Select two major ethical theories covered in your readings for Week One. What are the major differences between these two theories? Which one of these theories is most aligned to your personal beliefs? Explain.
The law of comparative advantage recommends that countries specialize in those products in which they have a comparative advantage, not an absolute advantage.
If each nation grew at a constant rate over these years, in which year did the U.S. overtake the U.K. in terms of average income.
When would it make sense for a factory that is losing money to remain in operation
Suppose that your opponent is not playing her Nash equilibrium strategy. Should you play your Nash equilibrium strategy? why or Why not?
Gary has two children, Kevin and Dora. Each one consumes "yummiest" and nothing else. Gary loves both children equally.
What would you learn about an economy if you determined that its GNP was growing more quickly than its GDP?
Suppose you have estimated the consumption function as C=250=0.90Yd where Yd is disposable income. what is the corrosponding saving function?
q1. banking system presently has 200b of bank explanation none of which are excess. citizens clutch only deposits also
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