Reference no: EM131379216
1. The price of a hamburger is $1 and the price of a movie is $6 and the consumer has $14. A consumer has purchased 2 hamburgers and 2 movies, receiving 20 units of utility for the second hamburger and 100 units of utility for the second movie. The set of goods:
a. is not an optimum because the marginal utility per dollar spent is greater for hamburgers than for movies and the consumer is not spending all of his income.
b. is an optimum since the entire income is spent and total utility is maximized.
c. is an optimum since the entire income is spent and the marginal utility per dollar spent is the same for the last unit of each good.
d. is not an optimum because the marginal utility for each good is not equal.
2. The price of hamburgers is $2 and the price of movies is $4. The consumer has $14 of income. The consumer is purchasing 3 hamburgers and receiving 20 utils for the last hamburger. He is also purchasing 2 movies and receiving 40 utils for the last movie. This set of goods
a. is an optimum since the entire income is spent and the marginal utility per dollar spent is the same for the last unit of each good.
b. is an optimum since the entire income is spent and total utility is minimized.
c. is not an optimum because the marginal utility per dollar spent is greater for hamburgers than for movies.
d. is not an optimum because the consumer has not spent all of his money.
3. The consumer optimum for consuming two goods is achieved when
a. the total utility from each good is equal.
b. the marginal utility per last dollar spent is equal for the two goods.
c. the price of each good is equal.
d. the price multiplied by the marginal utility is equal for the two goods.
4. Dr. Rodriguez is consuming beer and wine. At his current level of consumption, the marginal utility per dollar is 30 units for beer and 15 units for wine. Dr. Rodriguez should
a. consume twice as much beer as wine.
b. consume twice as much wine as beer.
c. increase his consumption of beer relative to wine.
d. increase his consumption of wine relative to beer.
5. Increases in total utility from the consumption of a good decrease as more is consumed. This statement is
a. the law of diminishing marginal utility.
b. the consumer optimum.
c. the law of average utility.
d. false.
6. A rational individual will never consume a unit of a good if its
a. marginal utility is increasing.
b. marginal utility is diminishing.
c. marginal utility is less than average utility.
d. marginal utility is negative.
Write with logic and with transitions
: Explain the context and state the importance of the problem/issue - Write with logic and with transitions throughout your paper.a. Are your ideas consistent and well-organized, i.e., chronological order or order of importance?
|
Calculate jaedans debt and profitability ratios
: Calculate Jaedan's free cash flow. Calculate Jaedan's liquidity. Calculate Jaedan's debt and profitability ratios. Calculate Jaedan's market ratios.
|
Was ic correct in the given situation
: IC further a r gued that it had simply purchased the assets of Interceptor and was now involved in selling those assets, like the aircraft, to other buyers, like Enstrom . IC concluded that it was therefore not liable to Enstrom. Was IC correct? W..
|
Is tenholder inc liable for the damages
: Is Tenholder, Inc. liable for the damages resulting from the car accident? In answering the question, discuss if an agency relationship exists between Jolie and Tenholder, Inc
|
Consumption of good decrease as more is consumed
: The price of a hamburger is $1 and the price of a movie is $6 and the consumer has $14. A consumer has purchased 2 hamburgers and 2 movies, receiving 20 units of utility for the second hamburger and 100 units of utility for the second movie. The cons..
|
Should court of appeals of california uphold trial courts
: He brought suit seeking involuntary dissolution of the corporation. Should the court of appeals of California uphold the trial court's dissolution order? Why or why not?
|
Are there disadvantages in having a written constitution
: What benefits come from a nation having a written constitution like in the United States? Are there disadvantages in having a written constitution such as ours? If so, what might they be
|
Are the defendants subject to suit in california
: Are the defendants subject to suit in California? Why or why not? Did the defendants act ethically in trying to avoid the lawsuit in California? Apply one of the ethical theories/systems we have studied in answering this question
|
Discuss about the post given below
: Please ensure that you understand the participation post requirements that are outlined in the instructor policy document. First, this New Classeoom permits all students the freedom to create participation posts on topics that interest you, rather..
|