The government can control income levels by placing limits on how much citizens can earn. The government can eliminate minimum wages for workers to account for economic differences.
Alexi spends more time in the production of tacos and Tony spends more time in the production of Cuban sandwiches. So they enjoy comparative advantage in the production of these goods respectively.
Answer: Alexi earns $4200 and Tony earns $6300. Collectively they earn $10500 per week.
<u>Explanation:</u>
The opportunity cost of Alexi for producing one Taco is <u>0.67</u> cuban sandwiches.
The opportunity cost of Tony for producing one cuban sandwich is <u>1.29</u> tacos.
<u>Tony</u> has a comparative advantage in the production of cuban sandwiches.
<u>Alexi</u> has a comparative advantage in the production of street tacos.
Combined together they will produce a total of <u>1410</u> tacos and <u>1530</u> cuban sandwiches.
Alexi will spend <u>20 hours</u> in the production of tacos and Tony will spend<u> 20 hours</u> in the production of cuban sandwiches.
Tony will specialize in cuban sandwiches and will earn<u> </u><u>$ 6300 </u>and Alexi will specialise in producing tacos and will earn<u> $ 4200</u>.
Their joint revenue will be<u> $10500</u> per week.
Goods are things people want
Hope this helps
Answer:
False
Explanation:
It is not necessary that the price shall be related to market value, rather an effective deal would be to offer the product at a price which is identified to be lower than the market value.
Anything which is at market value is not a deal unless it is paired with some other benefits not offered in the general market. Accordingly from the consumer point of view anything which has a good utility to consumer and is bought below the market price is a great and effective deal.
Therefore, the statement is false.
Answer:
0.1935; 9
Explanation:
(a) Total return of your stock investment:
= (Trading value of stock at the year end + Dividend paid - Cost of purchasing the stock) ÷ Cost of purchasing the stock
= (52.75 + 2.75 - 46.5) ÷ 46.5
= 0.1935
(b) Total dollar return on your investment:
= Trading value of stock at the year end + Dividend paid - Cost of purchasing the stock
= 52.75 + 2.75 - 46.50
= 9