Microeconomics Answers

a) Bruce had a rare encounter with the Almighty. The Almighty offered him 3 wishes of his preference. Bruce very shrewdly chose these 3 things in that order — lots of wealth, a popular life and never have to work again. The Almighty happily granted his three wishes to Bruce. Few weeks down the line, with the spread of coronavirus, Bruce found him to be affected by it. He has gone extremely pale and week, has lost his smell, has lost his taste, can barely walk by himself. Not happy with what he has been going through, he started blaming the Almighty for all this. Do you think that Bruce was acting as a rational being? Why or why not, explain your answer.

During the Revolutionary War, the American colonies could not raise enough tax reveneu to fully fund the war effort. To make up the difference, the colonies decide to print more money. Printing money to cover expenditures is sometimes referred to as an" inflation tax". Who do you think is being "taxed" when more money is printed? Why?

suppose Americans decide to save more of their incomes. If banks lend this extra saving to business, which use the funds o build new factories ,how might this lead to faster growth the higher productivity?Is society getting a free lunch?

Explain how scarcity, choice and opportunity cost are related to each other using the production possibilities diagram

How can I analyze and find the Marshallian Demands of the following Utility function?

 𝑢(𝑥)=min⁡{𝑥1,𝑥2}𝑥3

I understand that goods x1 and x2 are perfect complements with each other, but what is the relation with x3?

Thank you