Explain how it is possible for a recently retired postal worker ...

[darbym82]

Explain how it is possible for a recently retired postal worker to be more wealthy than a rookie professional football player even though it is widely recognized that football players earn more than postal workers.
 
  What will be an ideal response?

Question 2

Before summer 2008, if you wanted a cell phone in Bhutan, you only had one choice: B-Mobile, owned and operated by the government. Then, this past spring, a privately owned competitor, Tashi, was let in.
 
  What do you predict will happen to equilibrium price and quantity in the cell phone market? A) Price will decrease and quantity will increase.
  B) Price will increase and quantity will decrease.
  C) Both price and quantity will increase.
  D) Both price and quantity will decrease.

[Benayers]

Answer to Question 1

The reason is that the postal worker in all likelihood has been spending years or decades building up wealth from his income. A rookie professional football player however, may earn a higher wage but has not had the opportunity to build up much if any wealth at all since his career has just begun.

Answer to Question 2

A

[darbym82]

Gracias!

[Liddy]

Thanks for the timely response, appreciate it