1. Indicate how each of the following changes would influence the incentive of a decision-maker to undertake...

Question:

1. Indicate how each of the following changes would influence the incentive of a decision-maker to undertake the action described.

a. A reduction in the temperature from 80° to 50° on one’s decision to go swimming

b. A change in the meeting time of the introductory economics course from 11:00 A.M. to 7:30 A.M. on one’s decision to attend the lectures

c. A reduction in the number of exam questions that relate directly to the text on the student’s decision to read the text

d. An increase in the price of beef on one’s decision to buy steak

e. An increase in the rental rates of apartments on one’s decision to build additional rental housing units

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Hassan Imtiaz

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