User Account

All Pages

Law of diminishing marginal utility

Assignment Help Macroeconomics
Reference no: EM131074721

The below table gives the total utility Jamal derives from the consumption of coffee  and cream puffs. Jamal has $12 to spend on these two confectionery goods. The price of a coffee is $3 and the price of a cream puff is $1.50

a) Complete the table

         Coffee                                                                              Cream puffs

Quantity

TU

MU

(MU/P)

Quantity

TU

MU

(MU/P)

0

        0

 

 

0

       0

 

 

1

126

 

 

1

  54.0

 

 

2

243

 

 

2

103.5

 

 

3

342

 

 

3

145.5

 

 

4

414

 

 

4

177.0

 

 

5

441

 

 

5

196.5

 

 

b) Does this follow the Law of diminishing marginal utility? Explain why?

c) What is your optimal combination of coffee and cream puffs?

Reference no: EM131074721

Questions Cloud

In order to expedite product development : In order to expedite product development, 24 electronic parts, which are designed to operate at field temperature up to 40oC have been subjected to accelerated testing.
How much work does the train do against friction with track : How much work does the train do against friction with the track?
Create the appropriate journal entries for accounts : Using the information on the sample invoice and check, please create the appropriate journal entries for using the accounts below (as needed). Please note that the accounting must be done on a monthly basis. Accounts receivable, Accounts payable D..
Disinfection may cause : Disinfection may cause:
Law of diminishing marginal utility : Does this follow the Law of diminishing marginal utility? Explain why? What is your optimal combination of coffee and cream puffs?
What do you believe that united states set out to be : First of all answer this question... What do you believe that United States set out to be? Write a three paragraph history essay about "To what extent has the United States become the nation that it originally set out to be?"
Paying a series of five constant-dollar : You are paying a series of five constant-dollar (or real-dollar) uniform payments of $1195.38 beginning at the end of first year. Assume that the general inflation rate is 13.24% and the market interest rate is 13.24% during this inflationary peri..
Determine what changes are occurring in the economy : The cover page and the reference page are not included in the required assignment page length.
Why choose medical billing and coding : List of useful job search sources including working web page links (Minimum 10). A summary of your own job search should be included and included a list of pros and cons of the jobs found in Maryland and the type of experience required.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Calculate the percent change in the gdp price deflator

Now calculate the percent change in the GDP price deflator (P) during this 1973 - 1975 recession.

  Minimizing damage of speakers

When you buy a set of speakers, Best Buy asks if you would like to purchase insurance for your speakers. Assume that paying for new speakers for customers who listen to music at a reasonable level (thus minimizing damage) costs, on average, $150, ..

  Thailand economy

Thailand Economy:  I am third year student at college of Business (Finance). I have Macroeconomic research paper about Thailand economy.  I want research paper and PowerPoint slides to present the paper.

  Make bundling a possible price discrimination strategy

Which of the following features is needed to make bundling a possible price discrimination strategy but is not required for any other price discrimination strategies?The firm does not learn about customer demand until after purchase.

  Elucidate the academic curriculum and dicuss the challeges

Elucidate the academic curriculum and dicuss the challeges confronted by scholars of the following areas of specialisation.

  The economic prices of international buiseness exceeds

The economic prices of international buiseness usually exceed the economic benefits in both the short-term and long-term.

  How might the market power of quadplex cinema be measured

QuadPlex Cinema is the only movie theater in Idaho Falls. The nearest rival movie theater, the Cedar Bluff Twin, is 35 miles away in Pocatello. Thus QuadPlex Cinema possesses a degree of market power. Despite having market power, QuadPlex Cinema i..

  Fed leaders say reflects a sustainable level over the long

The biggest decision that Janet Yellen has faced in her year-old Federal Reserve chairmanship was laid bare in a single report on the domestic job market released Friday.The unemployment rate fell to 5.5 percent as job creation continued at a strong ..

  What happens to output levels-prices and profits

A normal good is being produced in a constant-cost, perfectly competitive industry. Initially, each firm is in long-run equilibrium. Briefly explain the short-run adjustments for the market and the firm to a decrease in consumer incomes.

  Explain how the use of such barriers creates higher

Trade barriers (quotas and tariffs) are often used to protect domestic workers. Explain how the use of such barriers creates higher unemployment rather than protecting it.

  Describe marginal propensity

Suppose that Melanie had 200000 of disposable income and spent 180,000 on consumption in 2006 & had 300,000 of disposable income & spent 240,000 on consumption in 2007

  Describe events that might lead to a disequilibrium

Describe events that might lead to a disequilibrium in the market for gasoline.

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