PRINCIPLES OF MICROECONOMICS (LL)W/ACC.
7th Edition
ISBN: 9781264198733
Author: Frank
Publisher: MCG
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Chapter 1, Problem 3P
To determine
Explain the decision of attending the game.
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Your friend bought two tickets to see James Taylor play at the Save-On Center, but now her partner can’t make it. You knew about the concert, but you decided you’re not a big enough fan to pay $100 for a ticket. On the other hand, she would have bought tickets even if they cost $150 each. If you assume that she cannot sell the ticket anywhere else, what is the minimum price you can offer her for the ticket that she will accept? Explain your answer.
6) You have been assigned to create a new TV game show, and you have an interesting idea that you call, “I WANT TO BE A MILLIONAIRE.” The basics are: 1) two contestants; 2) the show begins with each contestant being given $1 million (!); and then 3) they begin playing a game that can increase or decrease that $1 million.
You worry that the initial outlay of $2 million will stun your producers, so you decide to prepare them with a simpler version of your game that you call: “I WANT $3.” There are four steps in this simpler game:
There are two contestants/opponents (who do not know each other and cannot communicate with each other during the game).
Each player is given $3 at the start of the game.
Independently and simultaneously, each player must choose whether they want to add $0, $1, $2 or $3 to their initial stake of $3. Doing so reduces their opponent’s award by $0, $2, $4, or $6, respectively.
Each player knows that their payoff at the end of the game is based on their initial…
On your way home from Super Groceries, your car breaks
down. It is a hot summer day and you have nobody to call.
With little time before the food spoils, you decide to
prioritize what to carry on the walk home. You choose to take
three items with you. Since you will need all five items today,
you will replace the two abandoned items at the corner store
near your house, Convenient Grocers.
The table contains the prices you paid for each good at Super
Groceries and the prices you will need to pay at Convenient
Grocers to replace the goods.
Which three items should you save?
OOOOO
vegetables
fruits
eggs
ham
milk
Item
milk
eggs
ham
vegetables
fruits
Price at Super
Groceries
$3.75
$3.80
$2.95
$3.80
$2.50
Price at Convenient
Grocers
$4.25
$2.95
$5.25
$3.05
$3.80
Chapter 1 Solutions
PRINCIPLES OF MICROECONOMICS (LL)W/ACC.
Ch. 1.A - Prob. 1CCCh. 1.A - Prob. 2CCCh. 1.A - Prob. 3CCCh. 1.A - Prob. 4CCCh. 1.A - Prob. 5CCCh. 1.A - Prob. 6CCCh. 1 - Prob. 1RQCh. 1 - Prob. 2RQCh. 1 - Prob. 3RQCh. 1 - Prob. 4RQ
Ch. 1 - Prob. 5RQCh. 1 - Prob. 1PCh. 1 - Prob. 2PCh. 1 - Prob. 3PCh. 1 - Prob. 4PCh. 1 - Prob. 5PCh. 1 - Prob. 6PCh. 1 - Residents of your city are charged a fixed weekly...Ch. 1 - Prob. 8PCh. 1 - For each long-distance call anywhere in the...Ch. 1 - Prob. 10PCh. 1 - Prob. 1.1CCCh. 1 - Prob. 1.2CCCh. 1 - Prob. 1.3CCCh. 1 - Prob. 1.4CCCh. 1 - Prob. 1.5CC
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