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

Author Question: Assume a distant tribe only harvests breadfruit and its entire livelihood depends on it. If the ... (Read 145 times)

CQXA

  • Hero Member
  • *****
  • Posts: 546
on: Jun 29, 2018
Assume a distant tribe only harvests breadfruit and its entire livelihood depends on it. If the price of breadfruit were to rise suddenly how might it be possible that this tribe would actually consume more breadfruit?
 
  What will be an ideal response?

Question 2

A monopoly that can perfectly price discriminate creates no deadweight loss.
 
  Indicate whether the statement is true or false


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

orangecrush

  • Sr. Member
  • ****
  • Posts: 350
Reply #1 on: Jun 29, 2018
Answer to Question 1

The substitution effect would cause a decline in the consumption of bread fruit ceteris paribus. However, because breadfruit is the principle means by which the tribe earns its income there is also an income effect. If breadfruit is a normal good and the income effect is strong enough it can outweigh the substitution effect.

Answer to Question 2

TRUE


CQXA

  • Member
  • Posts: 546
Reply 2 on: Jun 29, 2018
Excellent

cdmart10

  • Member
  • Posts: 332
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

Glaucoma is a leading cause of blindness. As of yet, there is no cure. Everyone is at risk, and there may be no warning signs. It is six to eight times more common in African Americans than in whites. The best and most effective way to detect glaucoma is to receive a dilated eye examination.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Did you know?

Approximately 500,000 babies are born each year in the United States to teenage mothers.

Did you know?

The first oral chemotherapy drug for colon cancer was approved by FDA in 2001.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Killer whales, like this one spotted near Alaska, commonly breach, often lifting their entire bodies Killer whales, like this one spotted near Alaska, commonly breach, often lifting their entire bodies
Distant Galaxies Distant Galaxies
Dimmer Distant Supernova Dimmer Distant Supernova
Apply two-hand petrissage over the entire upper back. Place palms flat on back next to each other. ... Apply two-hand petrissage over the entire upper back. Place palms flat on back next to each other. ...
Finish with bilateral stroking to the entire back. Stand at head of the table with fingers pointing ... Finish with bilateral stroking to the entire back. Stand at head of the table with fingers pointing ...
For the circuit in Figure 1, assume ideal diodes. The peak inverse voltage is approximately For the circuit in Figure 1, assume ideal diodes. The peak inverse voltage is approximately
Video: Protein Secondary and Tertiary Structures - Animation

For a complete list of videos, visit our video library