Lowest possible price in transaction Costs
Is the assertion such that "Everyone all the time buys everything at the lowest possible price" right? Have you paid more than you had to for any good yet, after permitting for all transaction costs?
Expert
No and yes, correspondingly. (Students will suggest the following sorts of illustrations that are refuted here.)
Illustration: After a search I purchased a Toro lawnmower of $450. The after that day similar mower was on sale for $375. So, did I pay too much? At the instance you made the purchase the response was no. You had determined that prospective monetary savings from additional search would have exceeded the expected transaction costs acquired; this was cheapest at $450. Illustration: I can make popcorn at much lower monetary cost than its price into a theater. Refutation The cost of popcorn should be lower in the theater for those who buy this than would be the cost of going home to make this, and into the process, missing the movie.
When cuts into the price of cowboy hats drive down total revenues to hat makers, in that case demand: (1) relatively price elastic. (2) relatively price inelastic. (3) unitarily price elastic. (4) infinitely price elastic. (5) zero pr
Booming toy sales throughout December usually reflect rises in: (1) The quantity of toys demanded. (2) Market demand for toys. (3) Production costs. (4) Infantile consumerism. Can someone please help me in finding out the acc
Why do some people think that a mixed economic system resolves essential economic problems?
A monopolist which does not price discriminate faces a marginal revenue curve which slopes down quicker than its demand curve since: (w) economies of scale are significant. (x) selling more needs lowering the price of
When line 0C0' shows the U.S. income distribution, in that case the distribution of wealth would most likely be possible: (1) line 0A0'. (2) line 0B0'. (3) line 0C0'. (4) line 0D0'. (5) line 0E0'. Q : Output produced by profit maximizing A profit maximizing monopolist produces output where: (i) MR = MC as long as the corresponding price exceeds average variable costs [P>AVC]. (ii) marginal revenue minus marginal costs [MR - MC] is maximized. (iii) price minus average cost is maximi
A profit maximizing monopolist produces output where: (i) MR = MC as long as the corresponding price exceeds average variable costs [P>AVC]. (ii) marginal revenue minus marginal costs [MR - MC] is maximized. (iii) price minus average cost is maximi
Can someone please help me in finding out the accurate answer from the following question. According to most conventional theories of labor market: (1) The supply curve of labor is positively sloped as higher salaries attract the extra workers to the labor market. (2)
The Supplies of labor from a specified population mainly depend on the: (1) Structure of wage rates. (2) Labor force participation rates of different population sub-groups. (3) Individual preferences for the work and income versus the leisure. (4) Levels of investment
A firm which has some market power but for that long-run profit is prevented by freedom of entry and exit is engaged within: (1) pure monopoly. (2) pure oligopoly. (3) monopolistic competition. (4) socially responsible behavior. (5) pure competition.<
Refer to the following diagram, which depictes demand and supply conditions in the competitive market for product X. A shift in the demand curve from D0 to D1 might be caused by a(n): 1) decrease in income if X is an inferior good. 2) increase in the price of compleme
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