Q. 1. When discussing the maximization of utility, regardless of whether you chose to work more hours or fewer when offered a higher hourly wage, you could not be worse off than you were at a lower hourly wage. Can you explain how this?
2. Explain how does the existence of money reduce the costs of making transactions relative to a society based entirely on barter? English is becoming the usual language for international transaction, even if the language of neither country is English. Explain how does this reduce the cost transacting?