Marginal rate of substitution

Assignment Help International Economics

Reference no: EM1367737

I am a graduate student surviving on a limited income and my money income is $300 a month, the price of good X is $4, and value of good Y is also $4. Given these prices & income, I purchase 50 units of X and 25 units of Y. The combination of X and Y bundle J. At bundle J my marginal rate of substitution (MRS) is 2. At bundle J, if I increase consumption of Y by 1 unit, how many units of X can I give up and still reach the same level of utility?

Reference no: EM1367737

Questions Cloud

Write the implementation of a data structure : Write an implementation of a data structure S that supports the following operations: Insert(S, x): insert the key x into S only if it is not already there.

What acceleration must maintain : A car is travelling at a constant speed of 32m/s on a highway. At the instant this car passes an entrance ramp, a second car enters the highway from ramp.

Elucidate why labour force participation rate for two groups : Elucidate why labour force participation rate for two groups might differ. Why might human capital choices differ between selected groups.

How much time does take for the package to reach ground : A helicopter is ascending vertically with the speed of 8 m/s. At a height of 65m above the Earth, a package is dropped from a window.

Marginal rate of substitution : My income is $300 a month, the price of good X is $4, and value of good Y is also $4. Given these prices & income, I purchase 50 units of X and 25 units of Y.

Create algorithm to perform any sequence of two operations : Let A[1, n] be an array of real numbers. Create an algorithm to perform any sequence of the following two operations: Add(i, x): add the value x to A[i].

Impact of nursing profession to public : Write down the impact to the nursing profession and to the public related to the projected nursing shortage?

Illustrate what you observe during this short period of time : In early 1980s, U.S. economic policy was directed toward reducing inflation. Illustrate what would you have expected to observe during this short period of time.

What are the speed and wavelength of wave : The tension in a string is 20.6 n and its linear density is .649 kg/m. A wave on the string travels in the -x direction. It has amplitude of 3.71 cm and a frequency of 10.6 hz. What are the speed and wavelength of wave.

User Account

All Pages