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Joe and Jane desperately want to have children, and although they have tried for two years, they have not been successful. Finally, each of them consults a physician, and it turns out that Joe suffers from oligospermia (a low sperm count). He confides to you that he doesn't understand why this would interfere with his ability to have children since he remembers from biology class that it only takes one sperm to fertilize an egg. What would you tell him?
Equity
In finance, it refers to the value of an ownership interest in property, including shareholders' equity in a corporation. In economics, it often refers to fairness or justice in the distribution of wealth and resources.
Indifference Curves
Graphical representations used in economics to show combinations of two goods that provide a consumer with the same level of satisfaction.
Utility Possibilities Frontier
A graphical representation that shows the maximum amount of two goods that an economy can produce using all its resources efficiently, given the technology.
Contract Curve
In an Edgeworth box diagram, it represents the set of optimal distribution points for two traders based on their preferences.
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