What Do You Think Would Be a Major Risk for a Government

question 24

Essay

What do you think would be a major risk for a government trying to promote its country as a low-cost producer, filled with ready and willing outsourcing providers?

Calculate the optimum combination of goods to maximize utility with a given budget.

Apply the concept of the marginal utility to price ratio (MU/P) in determining the utility-maximizing combination of goods.

Analyze the effects of price changes on the quantity demanded through the income and substitution effects.

Understand how the demand curve is derived from diminishing marginal utility.