At the utility maximizing choice, the marginal utility of a baseball bat is 60 utils, while the marginal utility of a football is 30 utils. If the price of the baseball bat is $20, the price of the football is _____
a. $10
b. $20
c. $15
d. $5
a
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What are the three main types of markets for financial capital?
What will be an ideal response?
All of the following are required to make a tying arrangement vulnerable to antitrust prosecution except which one?
A) There must be some nontrivial amount of commerce affected by the tying contract. B) There must be proof of an actual tie between two products. C) There must be at least two products involved. D) The seller cannot have substantial market power in the market for the tying product.
What will happen to the annual rate of growth of per capita real GDP if the annual rate of population growth increases and the annual rate of growth of real GDP goes down?
A) It will increase since an increase in population means an increase in labor that translates into an increase in real GDP. B) It will increase since the annual rate of growth of real GDP does not influence the growth rate of per capita real GDP. C) It will decrease since an increase in the growth rate of population and a decrease in the growth rate of real GDP both work to decrease the growth of per capita real GDP. D) The effect will depend upon whether the rate of population growth is greater than or less than the rate of growth of real GDP.
The firm learns that the probability of launch estimated for the voice activated software was too optimistic and instead is actually 65%. Is it still worth for the company to develop the simplified software?
a. No, because the expected return is lower b. No, because the expected return is higher c. Yes, because the expected return is higher d. Yes, because the expected return is lower