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B1 and B2 are equal shareholders in the company Banana Inc.They have each invested $200 in the company.The following graph shows on a per shareholder basis the production possibilities curve,B1 and B2's indifference curves and the market opportunity line.
(a)What is the interest rate?
(b)How much is invested by the company at the optimal point?
(c)Assuming that the company invests at the optimal point,complete the following table (where applicable)for shareholder B1. (d)Assuming that the company invests at the optimal point,complete the following table (where applicable)for B2.
Shock Plate
A device used in experimental research to deliver a mild electric shock to an animal subject as part of conditioning or testing.
Fully Obedient
A state or condition of completely following orders, commands, or instructions without question.
Standard Condition
Conditions used in scientific experiments that are universally accepted and applied to ensure consistency and comparability of data and results.
Milgram's Study
A psychological experiment conducted by Stanley Milgram to measure the willingness of study participants to obey an authority figure who instructed them to perform acts conflicting with their personal conscience.
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