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Ber [7]
3 years ago
15

If Joanna is risk averse, then Group of answer choices her utility function exhibits the property of decreasing utility. her uti

lity function exhibits the property of increasing marginal utility. she dislikes bad things more than she likes comparable good things. she is unlike most people, because most people are not risk averse.
Business
1 answer:
andreev551 [17]3 years ago
7 0

Answer:

The correct answer is letter "C": she dislikes bad things more than she likes comparable good things.

Explanation:

Risk-Averse defines an investor who is able to tolerate only a small degree of investment risk. An investor who is risk-averse wants less risk by decision and is able to take less return. These are individuals who are unwilling to leave their comfort zone to explore areas that could provide them higher benefits.

Therefore, <em>if Joana is risk-averse, it is possible she dislikes negative things more than what she likes comparable positive things.</em>

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A - Set aside a portion of your income each month.

Hope This Helps

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By using bootstrap marketing strategies (unconventional, low-cost, creative techniques) small companies can get as much "bang" f
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Answer:

The given statement relates to bootstrap marketing strategies

Explanation:

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4 years ago
The amount of xylene that can be used in household paint is legally limited to 0.03 percent. Anything beyond this amount is haza
julia-pushkina [17]

Answer: B) economic responsibilities toward its shareholders

Explanation:

The primary purpose of a company is to maximize shareholder wealth. This means that it is to pursue strategy that would ensure the maximum return to its shareholders. This is also known as its economic responsibility towards shareholders.

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3 0
3 years ago
Consider a hypothetical closed economy in which households spend $0.70 of each additional dollar they earn and save the remainin
navik [9.2K]

Answer:

(a) 0.7

(b) 3.33

(c) -$210

(d) -$147

(e) -$1 trillion

Explanation:

(a) Marginal propensity to consume (MPC) = 0.7

(b) Multiplier of this economy:

=\frac{1}{1-MPC}

=\frac{1}{1-0.7}

      = 3.33

(c) Decrease government purchases by $300 billion,

Initial change in consumption = Change in government purchases × MPC

                                                  = $300 × 0.7

                                                  = -$210 billion

(d) This decreases income yet again, causing a second change in consumption equal to:

= Initial change in consumption × MPC

= -$210 × 0.7

= -$147 billion

(e) The total change in demand resulting from the initial change in government spending is:

= Change in government purchases × Multiplier

= $300 × 3.33

= -$1 trillion

7 0
3 years ago
Alpha has $40,000 of capital per worker, while Beta has $5,000 of capital per worker. In all other respects, the two countries a
tensa zangetsu [6.8K]

Answer: The correct answer is "a. Less".

Explanation: According to the principle of diminishing returns to capital, an additional unit of capital will <u>less</u> in Alpha compared to Beta, holding other factors constan.

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3 years ago
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