In 2013, Cher sold her Malibu Mansion for $45 million (Links to an external site.). It was originally listed for $49 million but no one offered to buy at that price. The price was lowered to $45 million and still no buyers. The interior of the house was remodeled and the house was relisted. Eventually Beyonce bought the house for $45 million (Links to an external site.). Which option is correct? This is an example of Relocation of the location of a good from low to high valued use or relocation of the legal ownership of the good from low to high valued. Revealed Preference tells us Beyonce valued Chers mansion More than 49 million, less than 45 million, between 45 and 49 million? In this example, Cher Valued the good more or valued the good less than Beyonce.
In 2013, Cher sold her Malibu Mansion for $45 million (Links to an external site.). It was originally listed for $49 million but no one offered to buy at that
Which option is correct? This is an example of Relocation of the location of a good from low to high valued use or relocation of the legal ownership of the good from low to high valued.
Revealed Preference tells us Beyonce valued Chers mansion More than 49 million, less than 45 million, between 45 and 49 million?
In this example, Cher Valued the good more or valued the good less than Beyonce.
In 2018, the swine flu spread throughout China (Links to an external site.). China accounted from more than half of the global pig population before the swine flue and, as a result of the flu, 40% of the Chinese pig population was killed. The Chinese pork price rose. Because the US pig herd was unaffected by the swine flu, initially the US price of pork did not change. US pig owners began shipping pork to China causing the price of pork in China and the US to equalize net transport costs.
This is an example of Relocation of the location of a good from low to high valued use or relocation of the legal ownership of the good from low to high valued.
In this example, after the swine flu hit China CHina valued pork more than America or American valued prork more than Chinese
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
