1. You read in an article online that Vancouverites eat much more fish than the residents of Abuja (the capital of Nigeria) do.

a. Please propose your own theory for this difference in consumption of fish. Your explanation does not have to be true, but it must have those features that the book says a good model must have. And it should be general.

b. Describe how you would test your theory. Do not forget to describe what kind of the test outcomes would make you refute your theory.

2. In the early 1980's, when the Polish people had to stand in long lines in order to purchase most consumer goods, the government ordered that every third place in line be reserved for pregnant women. This was presumably done to reduce their discomfort.

a. What do you think happened to the number of pregnant women standing in line? Explain your reasoning.

b. What do you think happened to the number of pregnant women in Poland? Explain your reasoning.

3. Think about the following bundles of goods and assume that Peter is indifferent between the bundles A, B, C, and D and Patricia is indifferent between the bundles W, X, Y, and Z.

Peter

Bundle

Apples

Oranges

MV Apples

A

0

28

----

B

1

21

C

2

15

D

3

10

Patricia

Bundle

Apples

Oranges

MV Apples

W

0

12

----

X

1

8

Y

2

5

Z

3

3

a. Calculate the marginal value of apples for Peter and the marginal value of apples for Patricia (fill up the corresponding cells in the table).

b. Let's say Peter has bundle B and Patricia has bundle Y. Explain how both, Peter and Patricia, can be made better off by trade.

ECON103F Asmt 01 Fall 2020 Assignment 01 Due by Friday, September 25, 11:59 PM (Vancouver Time D. Late submission: - less than 24 hrs late = 2 points deducted - 24-48 hrs late = 4 points deducted - more than 48 hrs late = 0 points awarded 1. You read in an article online that Vancouverites eat much more sh than the residents of Abuja (the capital of Nigeria) do. Please propose your own theory for this difference in consumption of sh. Your explanation does not have to be true, but it must have those features that the book says a good model must have. And it should be geneml. Describe how you would test your theory. Do not forget to describe what kind of the test outcomes would make you refute your theory. 2. In the early 1980's, when the Polish people had to stand in long lines in order to purchase most consumer goods, the government ordered that every third place in line be reserved for pregnant women. This was presumably done to reduce their discomfort. What do you think happened to the number of pregnant women standing in line? Explain your reasoning. What do you think happened to the number of pregnant women in Poland? Explain your reasoning. 3. Think about the following bundles of goods and assume that Peter is indifferent between the bundles A, B, C, and D and Patricia is indifferent between the bundles W, X, Y, and Z. Peter Patricia Bundle Apples Oranges MV Bundle Apples ' Oranges MV Apples Apples A o 28 w 0 | 12 B 1 21 x l l 8 C 2 15 Y 2 5 D 3 Z 3 3 a. Calculate the marginal value of apples for Peter and the marginal value of apples for Patricia (ll up the corresponding cells in the table). b. Let's say Peter has bundle B and Patricia has bundle Y. Explain how both, Peter and Patricia, can be made better off by trade