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Jet001 [13]
2 years ago
15

As we’re well aware, vending machines are used to sell snacks and beverages, whereas newspapers are sold out of a box that allow

s anyone to take more than one paper. How does the concept of diminishing marginal utility explain the different distribution techniques for newspapers vs. snacks and beverages? Identify two additional examples of an item whose diminishing marginal utility is high. Remember: Marginal utility is the change in total utility that results from a one-unit increase in the quantity of a good consumed; diminishing marginal utility is the general tendency for marginal utility to decrease as the quantity of a good consumed increases.
Business
1 answer:
max2010maxim [7]2 years ago
5 0

Answer:

Because people do not need a second newspaper, it will not bring any more information to their lives, rather than a second soda can or snack.

Explanation:

The law of diminishing marginal utility states that there are some products or services to which an increase in the consumption will not bring the same utility for the user as the right amount, for example, if you eat a slice of pizza, it will bring certain benefit, you'll be less hungry but if you eat 7 slices of pizza at some point you'll no longer be hungry and it will rather make you sick, in this case vending machines have a higher marginal utility, a person could drink 3 or 4 drinks or take 4 or 5 snacks before it makes them feel sick, whilst a person that buys a person buying a newspaper won't need a second one, even if it is for his/her family, a 5 people house has enough newspaper by taking 1 copy of it.

Other examples of this can be a vacuum cleaner, you don't need a second one if you already have one, or a house buying a second house ain't as necessary as the first one.

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The following data pertains to activity and maintenance costs for two recent years:
Aleksandr-060686 [28]

Answer:

Y= 6000 + 0.75X

Explanation:

High and low cost technique

Using the a high and low technique, total cost can be analysed and separated into fixed and variable portion. This analysis helps in the forecast of cost and therefore important for the preparation of budget.

<em>Variable cost of maintenance</em>

= (Cost at high activity - Cost at low activity)/ (high activity - low activity)

VC per act. = ( $15000 - $12000)/(12,000-8000)

                   = $0.75 per activity

<em>Fixed cost of maintenance</em>

= Total cost at high activity - (VC per act × high activity)

=  $15,000 - ( $0.75 ×  12,000)

=   $6,000

The cost formula will be:

Y= 6000 + 0.75X

Where Y = maintenance cost, X= level of activity

6 0
2 years ago
Government's unfunded liabilities: a. result in more efficient policies in an attempt to satisfy these liabilities. b. result fr
Misha Larkins [42]

Answer:

The correct answer is B. result from the political bias toward immediate benefits and deferred costs.

Explanation:

While many people run hysterically on the streets begging politicians to act in the face of the threat of climate change, many people, young and old, may be demanding the same type of action, but to fix the unfunded passive systems.

By extending eligibility and increasing the benefits of a pay-per-use system while at the same time having fewer children to finance it, previous generations have left a fearsome financial obligation. Either taxes will increase dramatically for tomorrow's workers, lowering their standard of living, or benefits will fall for tomorrow's retirees, lowering their standard of living. A group will feel very angry.

These problems were anticipated even when politicians were raising payments, but each elected government simply kicked the can and allowed things to continue as usual.

 Social security systems and pension funds are actuarially not funded systems. There is no obligation for this generation to have children at the same rate as previous generations. Therefore, when those born in the 1950s reach retirement age in the next century, their stipends will feel more like a burden due to the ranks of non-active members of society that will depend on their contributions to live.

5 0
3 years ago
The three areas in which Americans spent most of their money are
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B clothing, entertainment, and health care
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2 years ago
To derive the demand curve we assume that A. marginal utility is constant. B. tastes are constant. C. prices are constant. D. re
Tems11 [23]

Answer:

C. prices are constant.

Explanation:

  • A demand is the scheduling the price of all the commodity as content and is derived as the price of the goods may changes in the future as general the demand curve is downward sloping and is shown by the equilibrium prices and movement along the curve takes place when the change in price causes the quantity demanded to change.
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3 years ago
In the experiment described in the passage, noumenon corporation was trying to determine the price that
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