Answer:
Example of not a natural experiment an economist might use to evaluate a theory is:
C. Here the Students in a microeconomics principles course are advised to play a game with their classmates to determine and evaluate what all decisions they make under certain adjusted circumstances.
Explanation:
Natural experiment : A natural experiment is referred to an observational and also an empirical study in which we get to study about the experimental and controllable varieties of variables. which can not het manipulated anywhere by the researchers.
Instead these experiments are allowed to affect the environment and the nature or the different factors which are not under control of our researchers. In contrast to the experimental values and all the natural experiments are even not controlled by the researchers but instead they also admire and obseve those experiments for their own studies.
So, the right option is:
C. Here the Students in a microeconomics principles course are advised to play a game with their classmates to determine and evaluate what all decisions they make under certain adjusted circumstances.
Answer:
Option (C) is correct.
Explanation:
In an unregulated market, negative externality results in a higher social marginal cost than the firm marginal cost because this market is not properly regulated by the government officials. Hence, these firms are not taking into account the effect of negative externalities in their cost.
We know that the consumer's decision is more offenly based on the point where the marginal cost is equal to the marginal benefit because they are not taking the impact of negative externalities.
If proper action is not taken by the government, negative externality will result in a market inefficiencies.
Answer:
This is incomplete, I need the options to be able to answer this question
Answer:
If volume reaches 500 units, net income will be: $715
Explanation:
When volume of sales was at 400 units:
Selling price per unit = Sales Revenue/400 = $1,600/400 = $4
Variable Cost per unit = Variable Cost/400 = $700/400 = $1.75
If volume reaches 500 units:
Total Sales Revenue = $4 x 500 = $2,000
Variable Cost = $1.75 x 500 = $875
Fixed Cost will not change = $410
Net income = Total Sales Revenue - Variable Cost - Fixed Cost = $2,000 - $875 - $410 = $715
