Which of the following will most likely have the greatest effect on an individual's consumption function?
a. winning a small amount in the lottery
b. a one-time tuition grant
c. a week of high overtime pay
d. an inheritance paying a modest annual dividend
d
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The tool that economists use to analyze the mutual interdependence of oligopolies is
A) economies of scale. B) the four-firm concentration ratio. C) game theory. D) the HHI. E) the efficient scale.
In 1991, Argentina decided to peg its currency (the Argentinean peso) to the U.S. dollar. Most of Argentina's trading, however, was with Brazil and Europe, not the United States. What result would pegging the Argentinean peso to the U.S
dollar have on the cost of imports from and exports to Brazil and Europe?
Considering the foreign exchange market, specifically the market for U.S. dollars and British pounds, who is supplying dollars in this market?
What will be an ideal response?
Assume that Juan concludes that he should eat less and play video games more. In this situation, it must be TRUE that the marginal utility of the last dollar spent on food is
A) more than the marginal utility of the last dollar spent on video games. B) less than the marginal utility of the last dollar spent on video games. C) equal to the marginal utility of the last dollar spent on video games. D) negative and less than the marginal utility of the last dollar spent on video games.