Economics

 I need very brief answers, Not long, Just precise. No Plagiarism,. For Chapter 5 fig 5.2 and Fig 5.3 , i will attached the images later. Just continue on the rest. Due in 15 hours. 

Chapter 5 questions

Answer the following questions and submit to Chapter 5 Questions.

1. Define the terms utility and the principle of diminishing marginal utility as used by economists.  Explain how these concepts can explain why someone would choose a bowl of spinach over a bowl of ice cream.


2. How does a free market help to overcome the barrier of scarcity in a society?


3. Using Figure 5.2 (p. 79), provide your interpretation of what could have caused the move of the line if this was the demand curve for peanuts.


4. Look at Figure 5.3 (p. 84). Why is the demand for line A much more inelastic than the demand line for E?


5. Would the demand for A or the demand for E be more affected by an increase in price?


6. From the list of seven factors that influence demand for a product, which do you believe to be the most influential on the purchase of sugar?


7. What could be a likely factor that causes a shift in demand of sugar?


8. Determine the price elasticity of a milk if the price of milk increases from $4 to $5 per gallon (25% increase), and the quantity demanded declines from 1,000 gallons to 500 gallons (50% decrease), what would be the price elasticity of milk?


9. Using the example above, if the price of chocolate rises from $1.25 to $2.50 (50% increase) and the sale of milk decreases from 1,000 gallons to 800 gallons (20% decrease), what is the cross-price elasticity of chocolate on milk? In this example, is chocolate a compliment or substitute product?


10. If the price of orange juice rises by 25% and the sale of milk increases by 40% what relationship exists between orange juice and milk?

Chapter 6 Questions

Answer the following questions and submit to Chapter 6 Questions.

1. Explain why agribusiness managers should be interested in strategic management.


2. Which is more important to the firm’s success over the long run, being the lowest-cost producer or offering a differentiated product? Explain.


3. How do the three parts of a strategic plan relate to each other? Explain how they help the firm reach its financial goals.


4. Explain how an analysis of a firm’s external and internal business environments interacts in the development of a successful strategic plan.


5. Identify the five forces in Porter’s model. Explain how they describe the competitive process in a market.


6. What is the difference between a mission statement and a vision statement in a strategic plan?


7. Why do agribusiness investors refer to the ROIC as their North Star?


8. Does America have a sustainable competitive advantage in agribusiness? Explain.


9. Are free markets a prerequisite to America retaining its competitive advantage in world agriculture? Explain.


10. Explain how having a well thought out strategic plan increases the changes for business survival for agribusinesses