About the marginal utility

Assignment Help Business Economics

Reference no: EM13741102

Every day, Ivan buys 2 cups of coffee and a sandwich for lunch. The price of coffee is $2 per cup and the price of a sandwich is $5. Ivan’s choice of lunch maximizes his utility, and he spends only $9 on lunch. Compare Ivan’s marginal utility for coffee and his marginal utility from the sandwich.

Reference no: EM13741102

Questions Cloud

What motivated the producers of all the individual products : Think of a business firm you recently visited (such as Walmart, Home Depot, Red Lobster, Barnes & Noble, McDonalds, etc.). What motivated the producers of all the individual products in the store to make them and offer them for sale? How did the prod..

What is going on in fragonards swing painting : What is going on in Fragonard's Swing painting? Describe the subject matter and mood. How does this image depart from the type of subject matter.

About transfer payments with regard to computing GDP : Which of the following statements are true about transfer payments with regard to computing GDP? Check all that apply

Describe the negotiation process flow : Identify who will have the final decision-making authority in the negotiation session. Describe the negotiation process flow

About the marginal utility : Every day, Ivan buys 2 cups of coffee and a sandwich for lunch. The price of coffee is $2 per cup and the price of a sandwich is $5. Ivan’s choice of lunch maximizes his utility, and he spends only $9 on lunch. Compare Ivan’s marginal utility for cof..

What is her economic profit : Suppose an assistant professor of economics is earning a salary of $75,000 per year. One day she quits her job, sells $100,000 worth of bonds that had been earning 5 percent per year, and uses the funds to open a bookstore. At the end of the year, sh..

Example of how the principle of opportunity cost applies : Give an example of how the Principle of Opportunity Cost applies to your life. Think of a recent decision you made. It could be a decision as simple as whether to eat out or cook your own dinner, or it could be a decision to quit your job and go back..

Transformation called the knowledge revolution : Base states that it is not just technology that changes so quickly, but also the impacts which they have upon society. Do you agree? How does that align with the assertion in the lecture that we are now living in a third great technological transform..

Experimental with an objective of finding products : Should innovation activities be linked to our efforts to develop a strategic advantage or should innovation efforts be experimental with an objective of finding products or services that may be profitable at some indefinite point?

User Account

All Pages