In the consumer-choice model, the economist examines how the consumer's purchases change when there is a change in prices or income. Which stage of economic analysis is this procedure a part of?
a. Formulation.
b. Optimization.
c. Equilibrium.
d. Economic dynamics.
b. Optimization.
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Why do some firms practice price discrimination? Relate your answer to the common practice of public colleges charging lower tuition to in-state students and higher tuition to out-of-state students
What will be an ideal response?
The United States is a member of the fast-growth club of economic convergence, and India is a member of the slow-growth club of economic convergence.
Select whether the statement is true or false. A. True B. False
To counteract relative price changes, the government would implement:
A. monetary policy. B. policies that affect the supply and demand for all goods and services. C. polices that affect the supply and demand for a specific good. D. fiscal policy.
The more significant are economies of scale in an industry, the more product variety will be observed.
Answer the following statement true (T) or false (F)