Author Question: The First Theorem of Welfare Economics states that: a. only Walrasian equilibria can be Pareto ... (Read 59 times)

LaDunn · **on:** Jul 1, 2018

The First Theorem of Welfare Economics states that:
a. only Walrasian equilibria can be Pareto optimal.
b. all Walrasian equilibria are Pareto optimal.
c. a Walrasian equilibrium price vector can always be found.
d. some Walrasian equilibria may be unfair.

Question 2

Which of the following would not be classified as a capital expenditure for decision-making purposes?
a. purchase of a building
b. investment in a new milling machine
c. purchase of 90-day Treasury Bills
d. investment in a management training program
e. all of the above are capital expenditures