Read the statements and determine whether or not each character is using marginal analysis to make economic decisions. answers can be used more than once. ava decides whether or not she should spend an additional hour per day welding burn barrels by looking at how much she can produce in that hour. miranda is pondering whether adding one more painting to her art installation will make the audience's experience better or worse. d. a. calculates how many pounds of brisket he needs to eat on a daily basis to survive by looking at the total number of calories he needs. anna decides whether she should devote another day to studying for her music theory exam or if she can instead spend it practicing the viola. andrea decides how much fabric she needs for her new costume-making business this month by using the total she used last month.

Should the government be downsized? which functions should be cut back? which ones should be expanded?

Aprice ceiling is “binding” if the price ceiling is set below the equilibrium price. suppose that the equilibrium price is $5. if a price ceiling is set at $6, this will not affect the market in any way since $5 remains a legally allowable price (since $5 < $6). a price ceiling of $6 is called a “non-binding” price ceiling. on the other hand, if the price ceiling is set at $4, the price ceiling is “binding” because the natural equilibrium price is $5 but that is no longer allowed. what happens when there is a binding price ceiling? at a price below the equilibrium price, quantity demanded exceeds quantity supplied. there is a shortage. normally, price increases eliminate shortages by increasing quantity supplied and decreasing quantity demanded. in this case, however, price increases are not allowed past the price ceiling. we therefore predict that the observed market price will be right at the price ceiling and there will be a permanent shortage. the observed quantity bought and sold will be dictated by the quantity supplied at the price ceiling. although consumers would like to buy more, there are no more units for sale

Connors academy reported inventory in the 2017 year-end balance sheet, using the fifo method, as $154,000. in 2018, the company decided to change its inventory method to lifo. if the company had used the lifo method in 2017, the company estimates that ending inventory would have been in the range $130,000-$135,000. what adjustment would connors make for this change in inventory method?