Every week georg consumes 20 apples and 60 strawberries. His marginal utility of apples is 80...
Homework Answers
B) 1/2. Apples provide twice as much utility as strawberries to Georg. So the price of apples should also be twice to that of strawberries. So the ratio of the price of strawberry to that of apple will become 1/2.
Add Answer to:
Every week georg consumes 20 apples and 60 strawberries. His
marginal utility of apples is 80...
five consumers have the following marginal utility of apples and pears:
Marginal Utility of apples for..jerry:12george:6Elaine:6Kramer:3Newman:12Marginal Utility Utility of pears..jerry:6george:6Elaine:3Kramer:6Newman:3The price of an apple is $2 and the price of a pear is $1.Which, if any, of these consumers are optimizing over their choice of fruit?
Charlie consumes apples and bananas. His utility function is: U(xA; xB) xAxB. The price of apples...
Charlie consumes apples and bananas. His utility function is: U(xA; xB) xAxB. The price of apples is $1, the price of bananas is $2, and Charlie's income is $40 a day. The price of bananas suddenly falls to $1. Find the substitution and income effect of the price change for apples and bananas.
Suppose Basil is maximizing his utility from consuming tea and crumpets. If the marginal utility of...
Suppose Basil is maximizing his utility from consuming tea and crumpets. If the marginal utility of the last cup of tea was 24 units of utility and that of his last crumpet was 6 units of utility, which of the following is true? The price of tea is six times the price of crumpets The price of crumpets is four times the price of tea The price of tea and crumpets are equal The price of tea is four times...
Jake spends $100/week on two goods, apples and DVD's. Th price of an apple is $2...
Jake spends $100/week on two goods, apples and DVD's. Th price of an apple is $2 and the price of a DVD is $10. Show Jake's budget constraint. Be clear about the values of the two intercepts on the budget constraint. Put the quantity of apples on the horizontal axis. a. Assume Jake is consuming 20 apples and spends the rest on DVDs. Label that point on your graph as point A. b. Jake has well-behaved preferences. At his initial...
4. Charlie likes both apples and bananas. He consumes nothing else. Charlie consumes x bushels of apples per year...
4. Charlie likes both apples and bananas. He consumes nothing else. Charlie consumes x bushels of apples per year and x bushels of bananas per year. Suppose that Charlie's preference is represented in the following utility function: u(x,,Xy)-x,Xy . Suppose that the price of apples is S1, the price of bananas is S2, and Charlie's income is $40. (14 points) a. Draw Charlie's budget line. Plot a few points on the indifference curve that gives Charlie a utility of 150...
3. Consider Charlie who consumes apples (xi) and bananas (2). Suppose that he consumes one apple...
3. Consider Charlie who consumes apples (xi) and bananas (2). Suppose that he consumes one apple and 8 bananas. That is, his current consumption bundle is (1,8). (a) Suppose that Charlie's marginal rate of substitution for one more apple is 2 bananas. If he is offered to trade apples and bananas at one-to-one rate, does he trade? Explain your answer. (b) Suppose that Charlie's preference is convex. If he were to consume 8 apples and one banana, his marginal rate...
Can't use Lagrange on this. Multiple Choice Practice- Show work or provide short explanation 4. Charlie's utility function for apples (A) and bananas (B) is U(AB)-AB. The price of apples used...
Can't use Lagrange on this.
Multiple Choice Practice- Show work or provide short explanation 4. Charlie's utility function for apples (A) and bananas (B) is U(AB)-AB. The price of apples used to be S1 per apple and the price of bananas used to be $2 per banana. His incomse was $40 per day. If the price of apples increases to $2.25 and the price of bananas falls to S1.25, then in order to be able to afford his old bundle,...
Question A3 [2 marks Consider a pure-exchange economy with two consumers, Joe and Jane, and two goods, apples and o...
Question A3 [2 marks Consider a pure-exchange economy with two consumers, Joe and Jane, and two goods, apples and oranges. Suppose the total supply of apples is 10 and the total supply of oranges is also 10. Suppose also that, at the initial allocation, Joe's marginal utility of apples is 3 and his marginal utility of oranges is 5. Jane's marginal utility of apples is 6 and her marginal utility of oranges is 10. The current price of apples is...
Dave currently consumes 10 hotdogs and 6 sodas each week. At his current consumption basket ,...
Dave currently consumes 10 hotdogs and 6 sodas each week. At his current consumption basket , his marginal utility for hot dogs is 5 and his marginal utility for soda is 3. if the price of one hot dog is $1 and the price of one soda is $0.50, is Dave currently maximizing his utility? if not, how should he reallocate his spending in order to increase his utility?
Charlie’s utility function is ?(??, ??) = ????. The price of apples used to be $1,...
Charlie’s utility function is ?(??, ??) = ????. The price of apples used to be $1, the price of bananas used to be $2, and his income used to be $40. If the price of apples increased to $5 and the price of bananas stayed constant, the substitution effect (not total effect) on Charlie’s apple consumption would reduce his consumption by (choose the closest answer) Answer is 11 apples
Charlie consumes apples and bananas. His utility function is: U(xA; xB) xAxB. The price of apples is $1, the price of bananas is $2, and Charlie's income is $40 a day. The price of bananas suddenly falls to $1. Find the substitution and income effect of the price change for apples and bananas.
4. Charlie likes both apples and bananas. He consumes nothing else. Charlie consumes x bushels of apples per year and x bushels of bananas per year. Suppose that Charlie's preference is represented in the following utility function: u(x,,Xy)-x,Xy . Suppose that the price of apples is S1, the price of bananas is S2, and Charlie's income is $40. (14 points) a. Draw Charlie's budget line. Plot a few points on the indifference curve that gives Charlie a utility of 150...
3. Consider Charlie who consumes apples (xi) and bananas (2). Suppose that he consumes one apple and 8 bananas. That is, his current consumption bundle is (1,8). (a) Suppose that Charlie's marginal rate of substitution for one more apple is 2 bananas. If he is offered to trade apples and bananas at one-to-one rate, does he trade? Explain your answer. (b) Suppose that Charlie's preference is convex. If he were to consume 8 apples and one banana, his marginal rate...
Can't use Lagrange on this.
Multiple Choice Practice- Show work or provide short explanation 4. Charlie's utility function for apples (A) and bananas (B) is U(AB)-AB. The price of apples used to be S1 per apple and the price of bananas used to be $2 per banana. His incomse was $40 per day. If the price of apples increases to $2.25 and the price of bananas falls to S1.25, then in order to be able to afford his old bundle,...
Question A3 [2 marks Consider a pure-exchange economy with two consumers, Joe and Jane, and two goods, apples and oranges. Suppose the total supply of apples is 10 and the total supply of oranges is also 10. Suppose also that, at the initial allocation, Joe's marginal utility of apples is 3 and his marginal utility of oranges is 5. Jane's marginal utility of apples is 6 and her marginal utility of oranges is 10. The current price of apples is...
Most questions answered within 3 hours.
-
Calculate the pH of a 5.7 M solution of aniline (C6H5NH2; Kb =
3.8 x 10^-10)
asked 1 hour ago -
LSL R3, R3, R12
Memory
Address
Orig.
Data
Updated
Data
Register
Orig.
Data
Updated
Data
0x84F0...
asked 1 hour ago -
Air at 100 kPa and density of 1.2 kg/m3 flows upward through a
5-cm diameter inclined...
asked 1 hour ago -
Define the following concepts in your own words: (a) stiffness,
(b) strength, (c) strain,
(d) ductility,...
asked 2 hours ago -
In C++
In this homework, you will be tasked with creating functions to
manipulate strings that...
asked 2 hours ago -
An isolated colony represents a pure culture. one rare occasions
, however , a colony can...
asked 2 hours ago -
*****DO NOT ANSWER THIS QUESTION IF YOU DON'T
KNOW*******Rights and Duties of Auditors; Minimum 4000
words...
asked 3 hours ago -
The probability that Janie is wearing sunglasses is 1/4. The
probability that she is wearing sunglasses...
asked 4 hours ago -
Do you believe social media is more of a help or a hindrance in
controlling crises...
asked 4 hours ago -
Two long, parallel wires separated by 2.85 cm carry currents in
opposite directions. The current in...
asked 4 hours ago -
Question # 1. Develop a list of rehabilitation journals
that publish articles concerning career counseling for...
asked 4 hours ago -
Bryant Company has a factory machine with a book value of
$85,100 and a remaining useful...
asked 4 hours ago