1. Imagine that you're on vacation in Russia, when suddenly you're arrested and accused of spying for the United States. (You're innocent, of course.) Your captors inform

you that if you confess, you'll receive a prison sentence of two years, while your co-conspirator (whom you've never heard of) will receive a prison sentence of twenty years. If you both confess, you'll each receive a prison sentence of five years. You're also told that your co-conspirator is being offered the same option. If you both maintain your innocence, however, there's not enough evidence to convict either of you. Applying economic theories to the problem, what should you choose to do, and why?

2.A hotel owner, having heard that new hotels plan to open in his area, saysl "We have too many hotels in this town already. Statistics show that vacancy rates average 20 percent on any given night." Assuming this is correct, evaluate his negative assessment of the situation in terms of business-stealing and product-variety externalities.

3.why a consumer who chooses a consumption bundle in which the relative price exceeds the marginal rate of substitution can't be at an optimum?

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Evaluate his negative assessment of the situation : "We have too many hotels in this town already. Statistics show that vacancy rates average 20 percent on any given night." Assuming this is correct, evaluate his negative assessment of the situation in terms of business-stealing and product-variet.. |

Find the width of the box that can be produced : s to manufacture a box with a volume of 24 cubic feet that is open on top and is twice as long as it is wide. Find the width of the box that can be produced using the minimum amount of material. Round to the nearest tenth, if necessary. |

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