Author Question: Refer to Scenario 2.2. What is the effect of the BBP on the equilibrium price of dental care? A) ... (Read 51 times)

rayancarla1

  • Hero Member
  • *****
  • Posts: 571
Refer to Scenario 2.2. What is the effect of the BBP on the equilibrium price of dental care?
 
  A) It unambiguously increases.
  B) It unambiguously decreases.
  C) It increases only if supply shifts more than demand.
  D) It increases only if demand shifts more than supply.

Question 2

Refer to Scenario 16.1. Initially Sam and Sally are allocated 10 cheese doodles and 10 pretzels each. Which of the following statements are TRUE?
 
  A) The initial allocation is Pareto optimal as it is equitable.
  B) The initial allocation is Pareto optimal as Sally and Sam have equal amounts of both goods.
  C) The allocation is not Pareto optimal. An allocation that gave Sam all of the cheese doodles and Sally all of the pretzels would make both of them better off.
  D) The allocation is not Pareto optimal. An allocation that gave Sam four of the cheese doodles and sixteen of the pretzels (leaving Sally the rest) would make both of them better off.



katheyjon

  • Sr. Member
  • ****
  • Posts: 331
Answer to Question 1

A

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Patients who cannot swallow may receive nutrition via a parenteral route—usually, a catheter is inserted through the chest into a large vein going into the heart.

Did you know?

Serum cholesterol testing in adults is recommended every 1 to 5 years. People with diabetes and a family history of high cholesterol should be tested even more frequently.

Did you know?

There are 20 feet of blood vessels in each square inch of human skin.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

For a complete list of videos, visit our video library