Log in
HomeClass Notes1,200,000US530,000

ECON 301 Lecture 5: ECON301 - Lecture 5 - Budgets and Optimal Choice

29 views9 pages
greybeetle241
17 Apr 2018
School
UW-Madison
Department
Economics
Course
ECON 301
Professor
Lorenzo Magnolfi

For unlimited access to Class Notes, a Class+ subscription is required.

Get access

Grade+
$40 USD/m
Billed monthly
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
10 Verified Answers
Class+
$30 USD/m
Billed monthly
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
7 Verified Answers

Related Documents

ECON 301 Lecture 7: ECON301 - Lecture 7 - Consumer Surplus
greybeetle241
ECON 301 Lecture 6: ECON301 - Lecture 6 - Demand
greybeetle241
ECON 301 Lecture 4: ECON301 - Lecture 4 - The Utility Function Day 2, Intro to Demand
greybeetle241

Related Questions

From lecture on Consumer Preferences

What is the difference conceptually between making a choice based on a single objective versus making a choice based on multiple (i.e., two or more) objectives?

Explain why you made the choice to go to your economics course lecture in terms of marginal benefits and marginal costs.

The marginal benefit of going to the lecture (passing the inevitable quiz) was less than the marginal cost of going (missing an hour of leisure time).
The marginal cost of not going to the lecture (failing the inevitable quiz) was less than the marginal benefit of not going (the hour of leisure time).
The marginal cost of not going to the lecture (failing the inevitable quiz) was greater than the marginal cost of going (missing an hour of leisure time).
The marginal benefit of going to the lecture (passing the inevitable quiz) was greater than the marginal cost of going (missing an hour of leisure time).

Using a non-numerical example, explain how firms should decide how many employees to hire. Your example should be original not one from the textbook or my lecture. Make sure response explains how optimal firm behavior will lead to scale and substitution effects. Also explain the importance of the diminishing marginal returns assumption.