« previous next »

Author Question: Using the utility possibilities frontier above explain three ways that this society of two ... (Read 76 times)

colton

  • Hero Member
  • *****
  • Posts: 627
on: Jun 29, 2018
Using the utility possibilities frontier above explain three ways that this society of two individuals can be made better off without making anyone worse off if it starts at point A.
 
  What will be an ideal response?

Question 2

Comment on the following statement: A firm with market power is able to charge any price it likes.
 
  What will be an ideal response?


amanda_14

  • Sr. Member
  • ****
  • Posts: 342
Reply #1 on: Jun 29, 2018
Answer to Question 1

It could move to the right and make Bill better off while keeping Susan's utility constant. It could move upward and make Susan better off while keeping Bill's utility constant or it could move up and to the right and make both better off.

Answer to Question 2

The statement is false. A firm with market power is constrained by the demand for its product. The firm must charge a price that buyers are willing to pay.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Alcohol acts as a diuretic. Eight ounces of water is needed to metabolize just 1 ounce of alcohol.

Did you know?

Hypertension is a silent killer because it is deadly and has no significant early symptoms. The danger from hypertension is the extra load on the heart, which can lead to hypertensive heart disease and kidney damage. This occurs without any major symptoms until the high blood pressure becomes extreme. Regular blood pressure checks are an important method of catching hypertension before it can kill you.

Did you know?

As of mid-2016, 18.2 million people were receiving advanced retroviral therapy (ART) worldwide. This represents between 43–50% of the 34–39.8 million people living with HIV.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

The four ways in which animals exchange heat with the environment are radiation, evaporation, convec The four ways in which animals exchange heat with the environment are radiation, evaporation, convec
American geriatrics society clinical guideline American geriatrics society clinical guideline
Ways to prevent heat waves Ways to prevent heat waves
A pharmacist can explain to a patient why medication may look different and ensure the correct ... A pharmacist can explain to a patient why medication may look different and ensure the correct ...
While most people resist labels of deviance, some embrace them. In what different ways do these ... While most people resist labels of deviance, some embrace them. In what different ways do these ...
Society: Myths and Realities, An Introduction to Sociology Society: Myths and Realities, An Introduction to Sociology
Video: Structures that affect circulation - kidneys, blood volume and venous tone

For a complete list of videos, visit our video library