Describe the optimal consumption choices of this consumer

Assignment Help Business Economics
Reference no: EM13984912

Suppose that a consumer's preference between the good x and y are represented by the utility function u(x,y)= x+y. If these two goods have the same price, describe the optimal consumption choices of this consumer.

Reference no: EM13984912

Questions Cloud

Bertrand model of oligopoly : Two identical firms have access to a spring. Their marginal cost of bottling water from the spring is a constant 10¢ per bottle. The market demand for bottled spring water is P = 250 − 20Q, where P is the price (in cents per bottle) and Q is the quan..
Does either form dominate from a tax perspective : 1. Does either form dominate from a tax perspective?
How far mass from equilibrium position of spring : A mass is oscillating with amplitude A at the end of a spring. How far (in terms of A) is this mass from the equilibrium position of the spring when the elastic potential energy equals a third the kinetic energy?
Variable input in the transportation of crude oil : Which of the following is most likely to be a variable input in the transportation of crude oil?
Describe the optimal consumption choices of this consumer : Suppose that a consumer's preference between the good x and y are represented by the utility function u(x,y)= x+y. If these two goods have the same price, describe the optimal consumption choices of this consumer.
Attempt to be completely self-sufficient tend : In general, individuals and countries that attempt to be completely self-sufficient tend to
Profits for each clinic and the merged firm : The price elasticity of demand is -0.20, and each clinic has fixed costs of $100,000. One clinic has a volume of 9,200, marginal costs of $70, and a market share of 3 percent. The other clinic has a volume of 15,800, marginal costs of $80, and a mark..
Write an unsolicited application letter for the job : Use the Internet to identify a prospective employer for which you would like to work after you complete your degree. Using a block format, write an unsolicited application letter for the job of your dreams within this organization
List and briefly describe the typical items : List and briefly describe the typical items included in a commercial mortgage loan application package.

Reviews

Write a Review

Business Economics Questions & Answers

  Q airways express has an evening flight from los angeles to

q. airways express has an evening flight from los angeles to new york with an average of 80 passengers and a return

  Receive a margin call if the maintenance margin

You decide to buy 1,600 shares of stock at a price of $64 and an initial margin of 50 percent. What is the maximum percentage decline in the stock before you will receive a margin call if the maintenance margin is 35 percent?

  Calculate the new supply of dollars at each exchange rate

Calculate the new supply of dollars at each exchange rate and graph the new supply curve. What is the new equilibrium exchange rate, given the original demand for dollars?

  Illustrate what is worth analysis

Illustrate what is worth analysis and Illustrate what things and conditions are to be kept when doing worth analysis of products and or construction work. Illustrate what are advantages of utilizing yearly worth analysis.

  The GDP deflator is good cost of living index

The GDP deflator is a good cost of living index. GDP is more volatile in the short-run than the long-run. All government spending is in GDP. If GDP is adjusted for purchasing power, the US usually improves its relative position.

  Suppose the own price elasticity of demand for good

Suppose the own price elasticity of demand for good X is -3, its income elasticity is -2, its advertising elasticity is 3, and the cross-price elasticity of demand between it and good Y is -5. Determine how much the consumption of this good will chan..

  A current account balance-of-payments surplus implies an

A current account balance-of-payments surplus implies an

  Productivity in completing coursework be measured

How would your productivity in completing coursework be measured? Has your productivity changed since you began college? What caused the productivity changes? How could you increase productivity further?

  Output level marginal revenue

A company is producing 15,000 units. At this output level, marginal revenue is $22, and the marginal cost is $18. The firm sells each unit for $48 and average total cost is $40. What can we conclude from this information?

  Increase in the supply of reserves in the banking system

Which of the following is a rate that should theoretically serve as a floor for the Fed funds rate? A dealer is said to be running a "matched book" if. An increase in the supply of reserves in the banking system leads to an increase in the Fed funds ..

  Price discrimination that can be sustained occurs

Price discrimination that can be sustained occurs when. Without insurance price of the drug is $500. Quantity demanded was 1,000. With insurance (Coinsurance rate is 10%) demand increases to 1,400. What is the social loss due to insurance?

  Which is steeper when it rises and steeper when it falls

Which is steeper when it rises and steeper when it falls

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!

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