You wish to buy only one CD. Use the rule of equal marginal utility per dollar to determine which one to purchase:
(a) Drake's latest CD for $15 which gives you 75 units of utility, or (b) Bob Dylan's "Shadows in the Night" for $10 that gives you 100 units of utility?
You should buy the Bob Dylan CD because the MU per dollar is 10 while MU per dollar for the Drake CD is only 5.
Economics
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Why is it difficult for the market to deliver socially efficient quantities of goods like clean air or street lighting?
What will be an ideal response?
Economics
If float is predicted to decrease because of good weather, the manager of the trading desk at the New York Fed bank will likely conduct ________ open market operations to ________ reserves
A) defensive; inject B) defensive; drain C) dynamic; inject D) dynamic; drain
Economics