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

Author Question: The above figure shows the isoquants for producing steel. Decreasing returns to scale are A) ... (Read 73 times)

xroflmao

  • Hero Member
  • *****
  • Posts: 515
on: Jul 1, 2018
The above figure shows the isoquants for producing steel. Decreasing returns to scale are
 
  A) present when producing more than 10,000 tons.
  B) present when producing more than 20,000 tons.
  C) present when producing more than 30,000 tons.
  D) never present.

Question 2

Describe the characteristics of an efficient contract between a principal and an agent.
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

karlss

  • Sr. Member
  • ****
  • Posts: 321
Reply #1 on: Jul 1, 2018
Answer to Question 1

B

Answer to Question 2

An efficient contract is efficient in production. The principal's and agent's combined value of the contract is maximized. An efficient contract is also efficient in risk bearing. The risk sharing is optimal so that a relatively less risk-averse person bears more of the risk.


xroflmao

  • Member
  • Posts: 515
Reply 2 on: Jul 1, 2018
YES! Correct, THANKS for helping me on my review

CAPTAINAMERICA

  • Member
  • Posts: 325
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

Did you know?

There can actually be a 25-hour time difference between certain locations in the world. The International Date Line passes between the islands of Samoa and American Samoa. It is not a straight line, but "zig-zags" around various island chains. Therefore, Samoa and nearby islands have one date, while American Samoa and nearby islands are one day behind. Daylight saving time is used in some islands, but not in others—further shifting the hours out of sync with natural time.

Did you know?

Drying your hands with a paper towel will reduce the bacterial count on your hands by 45–60%.

Did you know?

Limit intake of red meat and dairy products made with whole milk. Choose skim milk, low-fat or fat-free dairy products. Limit fried food. Use healthy oils when cooking.

Elle and associates investigated the cost to Datura wrightii of producing sticky leaf trichomes. Elle and associates investigated the cost to Datura wrightii of producing sticky leaf trichomes.
Otitis media. This illustration shows an inflamed tympanic cavity, which is the most common source o Otitis media. This illustration shows an inflamed tympanic cavity, which is the most common source o
This illustration shows the decibel level in various locations and associated with different ... This illustration shows the decibel level in various locations and associated with different ...
This label on a Toyota Camry hybrid shows the relative smog-producing emissions, but this does not ... This label on a Toyota Camry hybrid shows the relative smog-producing emissions, but this does not ...
Flow cytometry data that shows the differences in CD3+ CD4+ cells that occur with HIV infection. ... Flow cytometry data that shows the differences in CD3+ CD4+ cells that occur with HIV infection. ...
Apply scissoring between metatarsals and figure-8s on toe joints to mobilize the foot. Apply scissoring between metatarsals and figure-8s on toe joints to mobilize the foot.
Video: Factors that influence muscle tension - Sarcomere length and force, understretched and overstretched

For a complete list of videos, visit our video library