This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: What is the relationship between the marginal social benefit curve and the market demand curve. ... (Read 59 times)

dalyningkenk

  • Hero Member
  • *****
  • Posts: 598
on: Jun 29, 2018
What is the relationship between the marginal social benefit curve and the market demand curve. Explain.
 
  What will be an ideal response?

Question 2

Kirk consumes normal goods. If Kirk's income decreases and the prices of all goods remain unchanged, in his new consumer equilibrium, his marginal utility from each good will ________ and his total utility will ________.
 
  A) increase; increase
  B) increase; decrease
  C) decrease; increase
  D) decrease; decrease


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

joshraies

  • Sr. Member
  • ****
  • Posts: 351
Reply #1 on: Jun 29, 2018
Answer to Question 1

The market demand curve is also the marginal social benefit curve. The market demand curve shows the maximum price that consumers are willing to pay to buy another unit of the good. Marginal social benefit is the value of one more unit of a good, which equals the maximum price that people are willing to pay to get it. So the market demand curve is the marginal social benefit curve.

Answer to Question 2

B


dalyningkenk

  • Member
  • Posts: 598
Reply 2 on: Jun 29, 2018
Thanks for the timely response, appreciate it

alexanderhamilton

  • Member
  • Posts: 334
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

Not getting enough sleep can greatly weaken the immune system. Lack of sleep makes you more likely to catch a cold, or more difficult to fight off an infection.

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

All patients with hyperparathyroidism will develop osteoporosis. The parathyroid glands maintain blood calcium within the normal range. All patients with this disease will continue to lose calcium from their bones every day, and there is no way to prevent the development of osteoporosis as a result.

Did you know?

The B-complex vitamins and vitamin C are not stored in the body and must be replaced each day.

Did you know?

The U.S. Preventive Services Task Force recommends that all women age 65 years of age or older should be screened with bone densitometry.

Age-Crime Relationship in (a) 1842 and (b) 1992 Age-Crime Relationship in (a) 1842 and (b) 1992
Social Groups Social Groups
Oxygen-binding curve for myoglobin Oxygen-binding curve for myoglobin
Classic Supply - Demand Curve Classic Supply - Demand Curve
Social Jetlag Social Jetlag
Stock Market Tracks Growth in GDP Stock Market Tracks Growth in GDP
Video: Pericarditis

For a complete list of videos, visit our video library