Answer:
In economics, the principle of absolute advantage refers to the ability of a party (an individual, or firm, or country) to produce a greater quantity of a good, product, or service than competitors, using the same amount of resources
(i.e : India has an absolute advantage in operating call centers compared to the Philippines because of its low cost of labor and abundant labor force.)
Explanation:
Answer:
(d) Walt demands 12 boxes of strawberries.
Explanation:
For every 3 box of strawberries, Walt consumes 2 box of cream
=> For every 1 box of strawberry, he will consumer 2/3 box of cream
Suppose, he consumes X boxes of strawberries, then he must consume (2/3)*X boxes of cream
Cost = 10*X + 10*(2/3)*X = 200 = Income
=> 10X + 20X/3 = 200
=. 30X + 20X = 600
=> 50X = 600
=> X = 12
Yes, Saul Goodman is violating Law Of Demand.
<h3><u>
What is Law of Demand?</u></h3>
- One of the most fundamental ideas in economics is the law of demand. It explains how market economies distribute resources and set the prices of goods and services that we see in daily transactions by combining the law of supply.
- According to the law of demand, the quantity bought varies inversely with price. In other words, the quantity demanded decreases as the price increases. Because of declining marginal utility, this happens.
- In other words, consumers utilize the initial units of an economic good they buy to fulfill their most pressing requirements first, and they use the subsequent units to fulfill progressively lower-valued goals.
Since, Saul Goodman bought less pizza after its price drop, he's violating the law of demand.
Know more about Law of Demand with the help of the given link:
brainly.com/question/10782448
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