User Account

All Pages

Characteristics of the optimal consumer allocation

Assignment Help Business Management
Reference no: EM131998733

The following are key characteristics of the Optimal Consumer's Allocation, as presented in class, EXCEPT: 

Notation:

BC = Budget Constraint

IC= Indifference Curve

MUx = Marginal Utility for x

MUy = Marginal Utility for y 

Question options:

A. The optimal allocation (X*, Y*) is the one that attains the highest consumer's utility given a certain budget constraint. 

B. On the optimal allocation, the BC makes tangency with the highest attainable IC

C. For any given BC, the optimal allocation for each consumer is unique, due to the assumption of Increasing MU for X & Y. 

D. At the optimal allocation the ration of prices (Px/Py) is equal to the ratio of preferences (MUx/MUy) for the consumer.

Reference no: EM131998733

Questions Cloud

Explain the pressures associated with ethical decision : Evaluate whether the level of managerial hubris would have been decreased if Farrow Bank had a truly ethical business culture.
The trending ethical issues currently plaguing the industry : For the first part of the project you completed an overview of the company name and company dynamics for your project.
Started new job as controller with aerosystems : Ronald Roth started his new job as controller with Aerosystems today. What total medical costs will Ronald pay if he enrolls in the HMO plan?
Review differences in presentations of financial statements : Review the differences in the presentations of the 4 main financial statements (income statement, statement of owner's equity, statement of cash flow).
Characteristics of the optimal consumer allocation : The following are key characteristics of the Optimal Consumer's Allocation, as presented in class, EXCEPT:
Think about a company you have worked for : What was leadership's role in establishing this culture within the organization? How did power and motivation relate to the degree of ethical conduct?
Why the decision is important on a national or global level : Summarize important background information and explain why the decision is important on a national or global level.
Discuss the differences in classifications of cash flows : Discuss the differences in classifications of cash flows between IFRS and U.S. GAAP. Cover the differences with the classifications of contingent liabilities.
What rate of return was obtained by the pool : What was the rate of return that pool investors obtained during this early period? what rate of return was obtained by the pool?

Reviews

Write a Review

Business Management Questions & Answers

  The management of human resources

Identify and explain four (4) major influences from the tug of war between Frymire's role as leader and the newly elected governor.

  Identify the key the players-official and unofficial

Identify the key the players - official and unofficial, and interest groups - involved, either for or against this recommendation. Describe the role and function of each of the players you identified.

  Current competitive position

1. What is each company's current competitive strategy (be specific)? 2. What are they doing to improve their current competitive position? 3. What likely moves or strategy shifts will they make?

  Driving toward a railroad crossing

Michelle Wightman was driving toward a railroad crossing at which the gates were down and the lights flashing.

  Explain importance of conducting effective research leading

Explain importance of conducting effective research leading to good decision making and analysis of the process associated with putting together a research study.

  Uncontrolled variation on a process control chart

When a worker spots uncontrolled variation on a process control chart, should he signal a supervisor or stop the process immediately? Why?

  External environment gyrates with change

What happens within Tufts/NEMC as the external environment gyrates with change? What data in the case supports your claim?

  What is the current operating profit for the company

a) What is the current operating profit for the company as a whole?

  What innovation made deep water navigation possible

1. Give three long term consequences of the "Shadow Privilege". 2. List three major revisions Zhu Xi introduced to create "Neo-Confucianism"?

  Interest payment be for the second year

You have borrowed $25,000 at an interest rate of 16%. Equal payments will be made over a three-year period. (The first payment will be made at the end of the first year.) What will the annual payment be, and what will the interest payment be for t..

  Capital budgeting techniques

Your company has been presented with a decision on replacing a piece of equipment for a new computerized version that promotes efficiency for the upcoming year As manager you will need to decide whether or not the purchase of the new equipment is ..

  Distinguish among these types of new products

1. Distinguish among these types of new products: minor innovation, major innovation, and modification.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd