The table below shows the daily costs of Cathy's Corn Stand. Cathy sells her corn cobs in a perfectly competitive market. Cathy's Corn Stand's Production Costs AVC (dollars) $1.90 1.70 1.55 1.50 1.50 1.60 1.70 1.80 Quantity (corn cobs) 20 30 40 Price (dollars) 50 60 70 80 90 4.5 a. Draw Cathy's marginal cost (MC) curve. Instructions: Use the tool 'MC' to plot the curve point by point (8 points total). 4.0 3.5 3.0 2.5 2.0 1.5 ATC (dollars) $4.40 1.0 3.37 2.80 2.50 2.33 2.31 2.33 2.36 Cathy's Corn Stand's Production Costs MC (dollars) $1.60 1.30 1.10 1.30 1.50 2.20 2.40 2.60 ATC AVC MC

What are leakages in the circular flow diagram?  (B) Give example of leakage in a three sector economy

Each term (3 months) the current group of economics students completed a questionnaire as to how much they would spend on new purchases compared to how much they would save/pay off bills, if they suddenly and unexpectedly received a check for $1,000. The average MPC is shown in the table below. Month in which student poll was taken Average of students’ responses as MPC March 0.41 June 0.30 September 0.22 December 0.56   What do these MPC’s imply about the students’ thinking over the course of the year?   (Enter response here.)   What is likely happening in the economy during the same period of time?

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