can allocate the given advertising budget between different media of advertisement. Question 4. What kind of relationship would you postulate between short-run and long-run average cost curves when these are not Ushaped as suggested by the modern theories? Question 5. How do demand forecasting methods for new products vary from those for established products? Assignment - B Question 1. What are the different methods of measuring national income? Which methods have been followed in India? Question
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is better than none but too much choice can make people unhappy. The more options there are to choose from the chances of the consumer actually picking one decrease. Also increased expectation for the particular chosen option is increased‚ making it easier for the consumer to feel dissatisfied due to the option lacking in any way. Once everything is decided‚ the consumer can feel further discontent is when they think about the other possibilities if they had chosen
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implies that the consumer is not spending all his income. b) yields less utility than any point on the budget line. c) yields less utility than any point inside the budget line. d) is unattainable‚ given the consumer’s income.*** 6. In deciding whether to study for an economics quiz or go to a movie‚ one is confronted by the idea(s) of: a) scarcity and opportunity costs.**8 b) money and real capital. c) complementary economic goals. d) full production. 7. Suppose that a consumer purchases
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Consumer Choice Exercise 1. Function U allows us to know how that agent orders different combinations of goods x e y according to his preferences. For each of the following representations what is the shape of the indifference curves and what is the marginal rate of substitution (MRS)? What does that tell you about the agent’s preferences? a. U x 2 y x y b. U min ‚ 3 4 c. U xy d. U x 2 y Exercise 2. Consider the following utility functions: a. U ( x‚ y) ( x
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Consumption has many categories inside of it. Environment‚ education‚ popular culture all have major aspects that have to do with consumption. However‚ Consumption in the environment has become an issue in the past few years due to deforestation and lack of natural resources. Consumption has created a decline in what people think they need to use due to the standards set out by the others in the country‚ resulting in large numbers of resources diminishing. In order to fix this‚ we need to lower out
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yield a negative income elasticity‚ Ei < 0. As consumer incomes increase‚ demand and purchases of these foods decrease. Examples of inferior goods are bus tickets‚ consignment clothing‚ and retreaded tires to list a few. D) Demand of a product will be elastic when there is a higher number of substitute available. This happens because consumers can easily swap one product for the other based on price. An example can be the purchase of soda. A consumer can go to the store to buy Pepsi but arrive and
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THE PROFILE OF THE METU STUDENTS’ SHOPPING HABITS OF FAST-MOVING CONSUMER GOODS Shopping literally means the act of buying products. People frequently go shopping to meet their essential needs or sometimes it can be just for recreation. Most of daily transactions come from essential needs which can be outlined under many titles such as fast-moving consumer goods‚ clothing‚ electronics and so forth. As for fast-moving consumer goods‚ it includes dairy products‚ fruit and vegetables‚ drinks; in
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What & How Much to Produce Fundamental Economic Problem How to Produce For Whom to Produce Types of Economic Systems: a) Capitalistic Economy b) Socialistic/Command Economy c) The Mixed Economy Free Market/ laissez faire Theory of Demand Price mechanism Buyers Sellers Graphing demand curve Individual demand curve Market demand curve Changes in Dd Determinants of Demand Demand Changes in Qd Definition of Demand Law of Demand -Influenced by
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Name: ________________________ Class: ___________________ Date: __________ ID: A CH 5 Multiple Choice Identify the choice that best completes the statement or answers the question. ____ ____ ____ ____ ____ 1. Using the midpoint method‚ if the price of an airline ticket from Orlando to Pittsburgh falls from $275 to $238‚ the percentage change in price is a. 1442 percent. b. 14.42 percent. c. 15.54 percent. d. 13.45 percent. e. 68.00 percent. 2. When the percentage change in the quantity demanded
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household consumer expenditure expressed are broadly classified under (a) Food total and (b) Non-food total. Value of Consumption: Consumption out of purchase is evaluated at the purchase price. Consumption out of home produce is evaluated at ex-factory prices. Value of consumption out of gifts‚ loans‚ free collection and goods received in exchange of goods and service is imputed at the rate of average local retail prevailing during the reference period (30 days). Monthly Per Capita Consumer Expenditure
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