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Indifference curves
A. May sometimes intersect
B. Are contour lines only of a linear utility function?
C. Are convex if the utility function is a Cobb-Douglas function
D. Shift when prices change
Liberty Airways is considering an investment of $800,000 in ticket purchasing kiosks at selected airports. The kiosks have an expedited life of four years. Extra ticket sales are expected to be $60,000 per year at a discount price of $40 per ticket. ..
Explain how much is saved at equilibrium. If savings fell by $200 at every level of GDP, illustrate what would be equilibrium level of income.
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The problem is that the professors also want to attend the party and enjoy the music with the students but they can only attend if they agree to serve beer to the students. Normally, professors do not like this. The marginal cost to them is 200.
Explain what the lock-in effect is for capital gains that are taxed on realization. How can the effect lead to inefficient allocation of capital? b. Explain what a Roth I.R.A. is and show how its availability affects a competitive consumer's budget s..
q1. during the recession of 2008 2009 the detroit urban area had very considerable unemployment which is the highest in
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