Help on Economics need answer ASAP :[?

Question

Can someone please help me on my Economics homework and give a quick answer of each of the essay prompts.

they dont have to be detailed just enough info that i can expand and make an essay with each prompt.

thank you very much for those of you that answer (you may have just helped me pass my Econ class and graduate!)

The essay prompt is:

1.Examine the relationship between scarcity and the need for choices by explaining opportunity cost, marginal benefit, marginal cost, monetary incentives, non monetary incentives and how they relate to people's everyday lives.

2.Analyze effects of international mobility of capital + labor on U.S. economy should US gov. allow companies to move to foreign soils or outside labor.

3.Explain if war is ever good economic decision. Analyze whether or not the cost of gov. action in war out weigh the benefits.

Answer 1

For essay questions like yours it it best to answer with examples. First be sure you understand the definitions of these ideas. Suppose you have no car, but you have $2000. If you buy a car that costs $2000, the opportunity cost (in other words, what you are giving up) is everything else you could have spent $2000 on. If you buy a car for $500, the opportunity cost is $500 worth of everything else you wanted. If you have no car, the marginal benefit (the difference in benefit from one to the next) is very large. If you have one car, the marginal benefit of buying another is small. In other words, when you have no car, buying one car does you a whole lotta good. If you have one car, buying another car doesn't do you a whole lotta good because now you have to find a place to park the second one and buy more insurance. In each case, you bought exactly one car, but the benefit of buying that one car was very different. Marginal cost is usually related to production. If you want to start a company that makes and sells candy bars, the very first candy bar you sell will have been very expensive for you to make. You had to rent the space for your kitchen, you had to buy the raw ingredients for your candy, you had to hire a crew to make the candy, and you had to package the candy and ship it to the store. Suppose this cost you $10000. The marginal cost (in this case from zero candy bars sold to one candy bar sold) is $10000. The second candy bar sold has a marginal cost of $5000 ($10000 divided by the number sold) and so on.

Good luck!