Evaluate the Expression $3125 ^ { 4 / 5 }$ A) 390,625
B) 78,125
C) 625
D)

question 120

Multiple Choice

Evaluate the expression.
- $3125 ^ { 4 / 5 }$

• A) 390,625
• B) 78,125
• C) 625
• D) \(1,953,125\)

Analyze the impact of initial allocations on the determination of competitive equilibrium prices and consumptions.

Understand how to model and solve for competitive equilibrium in various market settings.

Learn the applications of different types of utility functions (e.g., U(x, y) = xy, U(x, y) = x + y) in determining economic outcomes.

Develop the ability to depict economic interactions and allocations graphically through diagrams such as Edgeworth boxes.

---

Definitions:

Market Interest Rates

The prevailing rate of interest available in the marketplace on investments and borrowing.

Exercise Price

The price at which the holder of an option can buy (for a call option) or sell (for a put option) the underlying asset.

Risk-Free Rate

The theoretical rate of return of an investment with zero risk of financial loss, often represented by the yield on government bonds.

Option

A contract that gives its owner the right to buy or sell some asset at a fixed price on or before a given date.