Price Theory assesment.I have already an answer, but I don't understand an answer from question 2 until the end question. Can you explain details to help me understand?
1.2 Worked solutions Question 1: Geoff has preferences over all ten pairs of alternatives (see the diagram from lecture 1), therefore the preferences are complete. Question 2. The order from most-preferred to least-preferred is: Dumplings Nachos and Sushi (Geoff is indifferent between the two) Pizza Burgers Question 3: Geoff will choose either Nachos or Sushi. Question 4: The Green party defeats the Blue party in the first round. And the Red party defeats the Green party in the second round. Question 5: If the Red and Blue parties compete in the first round, Blue defeats Red. Then Green defeats Blue in the second round. 1.1 Homework exercises Geoff must decide what to have for dinner. He must choose between five alternatives: Nachos Sushi Pizza Burgers Dumplings Geoff's preferences over the alternatives are as follows: Dumplings Burgers Sushi > Pizza Nachos > Pizza Nachos Burgers Sushi Burgers Dumplings Pizza Dumplings > Nachos Nachos - Sushi Using this information, answer the following questions: Question 1: Are Geoff's preferences complete? Briefly explain. Question 2: Show that Geoff's preferences are transitive by ordering the alternatives from most-preferred to least-preferred. Pizza > Burgers Dumplings > Sushi Question 3: If Geoff only has the choice between Nachos, Pizza and Sushi, which meal will Geoff choose? The following problems refers to the Three-commered contest example from the Prefer ences lecture (lecture 1). Suppose that there are two rounds of voting: In the first round the Green and Blue parties compete, with the winner determined by majority voting. In the second round, the winner of the first round competes against the Red party, with the winner once again determined by majority voting. Question 4: Using the preferences provided in the lecture, determine the winner of each round of voting Question 5: How would the outcome change if it were the Red and Blue parties competing in the first round, with the Green party competing agains the winner in the second round? The worked solutions can be found on the next page... 1.2 Worked solutions Question 1: Geoff has preferences over all ten pairs of alternatives (see the diagram from lecture 1), therefore the preferences are complete. Question 2. The order from most-preferred to least-preferred is: Dumplings Nachos and Sushi (Geoff is indifferent between the two) Pizza Burgers Question 3: Geoff will choose either Nachos or Sushi. Question 4: The Green party defeats the Blue party in the first round. And the Red party defeats the Green party in the second round. Question 5: If the Red and Blue parties compete in the first round, Blue defeats Red. Then Green defeats Blue in the second round. 1.1 Homework exercises Geoff must decide what to have for dinner. He must choose between five alternatives: Nachos Sushi Pizza Burgers Dumplings Geoff's preferences over the alternatives are as follows: Dumplings Burgers Sushi > Pizza Nachos > Pizza Nachos Burgers Sushi Burgers Dumplings Pizza Dumplings > Nachos Nachos - Sushi Using this information, answer the following questions: Question 1: Are Geoff's preferences complete? Briefly explain. Question 2: Show that Geoff's preferences are transitive by ordering the alternatives from most-preferred to least-preferred. Pizza > Burgers Dumplings > Sushi Question 3: If Geoff only has the choice between Nachos, Pizza and Sushi, which meal will Geoff choose? The following problems refers to the Three-commered contest example from the Prefer ences lecture (lecture 1). Suppose that there are two rounds of voting: In the first round the Green and Blue parties compete, with the winner determined by majority voting. In the second round, the winner of the first round competes against the Red party, with the winner once again determined by majority voting. Question 4: Using the preferences provided in the lecture, determine the winner of each round of voting Question 5: How would the outcome change if it were the Red and Blue parties competing in the first round, with the Green party competing agains the winner in the second round? The worked solutions can be found on the next page
