What is utility analysis? What is the goal of this analysis?
What will be an ideal response?
Utility analysis is the analysis of consumer decision making based on utility maximization. Economists assume individuals act so as to maximize their utility. The goal of the analysis is to explain and predict consumer behavior. An important part of this is that utility analysis can be used to derive a demand curve, because utility governs people's preferences for goods and services.
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When is a game dominance solvable?
The market mechanism provides a financial incentive for firms to minimize the pollution they create.
Answer the following statement true (T) or false (F)
The consumption function shows
A. a negative relationship between disposable income and planned consumption. B. a negative relationship between planned consumption and aggregate saving. C. a positive relationship between disposable income and planned consumption. D. a positive relationship between an individual's stock of wealth and his level of planned consumption.
How many people are unemployed if the employment ratio is 75%, there are 90 million people employed, and there are 20 million people not in the labor force?
A. 20 million B. 10 million C. 0 million D. 5 million