« previous next »

Author Question: If the initial distribution of two goods between two people is Pareto optimal, which of the ... (Read 122 times)

jenna1

  • Hero Member
  • *****
  • Posts: 568
on: Jul 1, 2018
If the initial distribution of two goods between two people is Pareto optimal, which of the following statements is TRUE?
 
  A) It is possible to reallocate the goods between the two people so as to increase the utility of both people.
  B) It is possible to reallocate the goods between the two people so as to increase the utility of one person without decreasing the utility of the other.
  C) It is possible to reallocate the goods between the two people so as to increase the utility of one person, but only at the expense of the other person.
  D) It is impossible to reallocate the goods between the two people so as to increase either person's utility.
  E) none of the above

Question 2

Refer to Scenario 12.3. What will be the price of this new drink in the long run if the industry is a Stackelberg duopoly?
 
  A) 3
  B) 9
  C) 12
  D) 13.50
  E) none of the above


dreamfighter72

  • Sr. Member
  • ****
  • Posts: 355
Reply #1 on: Jul 1, 2018
Answer to Question 1

C

Answer to Question 2

E


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Did you know?

The largest baby ever born weighed more than 23 pounds but died just 11 hours after his birth in 1879. The largest surviving baby was born in October 2009 in Sumatra, Indonesia, and weighed an astounding 19.2 pounds at birth.

Did you know?

Addicts to opiates often avoid treatment because they are afraid of withdrawal. Though unpleasant, with proper management, withdrawal is rarely fatal and passes relatively quickly.

Did you know?

People with alcoholism are at a much greater risk of malnutrition than are other people and usually exhibit low levels of most vitamins (especially folic acid). This is because alcohol often takes the place of 50% of their daily intake of calories, with little nutritional value contained in it.

Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

Paths taken by honeyguides leading people to bees' nests Paths taken by honeyguides leading people to bees' nests
More People Are Living in Cities More People Are Living in Cities
Distribution of the gibbons. Distribution of the gibbons.
Average Distribution of Incoming Solar Radiation Average Distribution of Incoming Solar Radiation
Distribution of skin color as measured by a reflectometer at a wavelength of 685 nm. The results are Distribution of skin color as measured by a reflectometer at a wavelength of 685 nm. The results are
Population distribution patterns Population distribution patterns
Video: Membrane transport proteins - pores, gated channels and pumps

For a complete list of videos, visit our video library