ECON 2030 Chapter : Menu 29 Aug 16
Document Summary
Today"s menu: monday 29 august 2016: business, practice problems (answers on moodle, chapter 2: 1, 2, 4-6, 9, chapter 2, appendix a: 1-3, 5, 8. If choices are equal, then it"s indifferent (doesn"t matter: economic reasoning: examples, a question, either/or choices, how much/how many choices, all-you-can-eat buffet, relevant costs, sunk costs. How much you"ve paid to get in, once you"ve started eating. Pay parking, once hour has passed it its irreleveant to whether you should park another hour. The passed hour becomes sunk cost: relevant costs, the answer, delta and the mayor, note on graphing: appendix to chapter 2, opportunity cost application: international trade, questions to answer. Experience- imported good are cheaper than us goods, so. Productivity doesn"t matter, if so we would only consume: if workers in the united states are the most productive in the world, why do we consume so many imported goods? you give up less items from the us.
