A+ Assignment Example | Topics and Well Written Essays - 500 words

A+ - Assignment Example misgiving 2 In economics, the concept of allocation of resources is sometimes linked to energy and equity. Efficiency and equity very much come in contrast to each other and in most instances both cannot be maintained. on that point is a difference of treatment of employees of high tech firms compared to those of the franchising firms. This is because the high tech firm employees are much economically efficient as their work has greater returns. This results in better compensations. On the other batch the returns of other workers like salesman or layman is lower compared to those at high level white emergency jobs. As in economics people prefer efficiency rather than equity those who are more than efficient get more benefits.Question 3 This is again related to efficiency and equity. Related to the notions of efficiency and equity is that of social welfare and a concept called Pareto efficiency, named for the Italian economist Vilfredo Pareto. If no real location of resources or trade of goods and service can be do that increases value to some individual without anyone else being made worse off, the situation is Pareto efficient. (National Oceanic and Atmospheric Administration)Therefore, as mentioned above by allowing for equitable distribution in some situations there is a chance of not only achieving Pareto efficiency but also increase the standard of living of the people. This may in turn increase spending and will inject capital back into the economy. Therefore, in an entirety this is beneficial.Question 4 The higher gasoline price is a study of concern for the government. This is because it will increase prices and cause further inflation and unrest. Therefore, the government will encourage them to secure hybrid care. This can be done by reducing the taxation on these hybrid cars. Adding a support price will also be an excellent benefit. This can be further fortify by increasing taxation on the gasoline fueled care. As th e costs of those cars