Indifference curves intersect at the point of utility maximization
Indicate whether the statement is true or false
FALSE
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Refer to Game Matrix V. Which of the following values of X and Y result in there being no pure strategy Nash Equilibrium?
a. X = 21, Y = 9. b. X = 19, Y = 11. c. X = 31, Y = 11. d. There will always be at least one pure strategy Nash Equilibrium in this game.
The number of computers produced per day in Domium is 1,000 more than the number of computers produced in Chromium. Domium and Chromium have the same number or workers and have the same opportunity costs for producing computers
Which of the following statements is true? A) Domium has an absolute advantage in producing computers. B) Chromium has an absolute advantage in producing computers. C) Chromium has a comparative advantage in producing computers. D) Domium has a comparative advantage in producing computers.
At the current production point on a nation's production possibilities frontier, the marginal benefit of a slice of pizza is 500 tacos while the marginal cost of producing a slice of pizza is 750 tacos
For the nation to produce at the point of allocative efficiency, what should be done?
Suppose you borrow $8,000 for one year and at the end of the year you repay the $8,000 plus $600 of interest. The expected inflation rate was 3.5% at the time you took out the loan, but the actual inflation rate turned out to be 2.5%
What was the expected real interest rate at the time of the loan? What was the actual real interest rate you paid? Who gained and who lost from the difference in the expected and actual inflation rates?