A consumer is observed choosing the bundle (3, 1) at prices (1, 2) and the bundle (2, 2) at prices (2, 1). Her wealth is unknown and may be different for the two choices. (a) Assuming the consumer spends all of her wealth, are her choices consistent with the Weak Axiom of Revealed Preference (or is it impossible to determine)? Solution: At prices (1,2), the first bundle costs 5 and the second costs 6. At prices (2,1), the first bundle costs 7 and the second costs 6. Therefore, neither is revealed preferred to the other, which implies that the choices are consistent with WARP. (b) If the consumer may not be spending all of her wealth, are her choices consistent with the Weak Axiom of Revealed Preference (or is it impossible to determine)?

Normative economic statements? a. contain value judgements b. are usually irrational c. are easily testable d. violate the law of ceteris paribus

create 2 ideas if you were creating a topic idea  based off of the information below It must be a MACRO topic economics theory is applied.  a thorough understanding of particular economic concepts/theories; that you can apply those concepts/theories to analyze daily events.

Explain what is meant by opportunity cost of choice