Two indifference curves for people

Assignment Help Business Economics

Reference no: EM13851669

Use separate graphs to sketch two indifference curves for people with each of the following utility functions.

(a) U(x, y) = x + 2y.

(b) U(x, y) = min{2x, y}.

Reference no: EM13851669

Questions Cloud

Demand for both goods double : Max has the utility function U(x, y) = x(y + 1). The price of x is $2 and the price of y is $1. Max’s Income is $11. How much x does Max demand? How much y? If his income doubles and prices stay unchanged, will Max’s demand for both goods double?

Budget line showing various combinations of scores : In her economics course, Nancy has two exams. Her overall score for the course will be the maximum of her scores on the two exams. Nancy decides to spend a total of 400 minutes studying for these exams. On a graph with x1 on the horizontal axis and x..

Federal government should subsidize local projects : Why do so many members of Congress believe that the federal government should subsidize local projects, such as improvements in bus or subway systems in major cities?

Current consumption bundle is strictly : The absolute value of Mars’ MRS at his current consumption bundle is strictly greater than 2. Mars has convex preferences. Which of the following statements is (are) true? Justify your answer graphically.

Two indifference curves for people : Use separate graphs to sketch two indifference curves for people with each of the following utility functions.

Who has the same indifference curves as jim : Jim’s utility function is U(x, y) = xy. Jerry’s utility function is U(x, y) = 1, 000xy + 2, 000. Tammy’s utility function is U(x, y) = xy(1 − xy). Oral’s utility function is U(x, y) = −1/(10+ 2xy). Who has the same preferences as Jim? Who has the sam..

Characterization of mercantilisms message : "Mercantalism recommends that a country should limit its exports, so that more of the otherwise-exportable products are instead available for local consumption." Do you agree or disagree with this characterization of mercantilism's message? Explain.

Constitute proof-aid is not effective in increasing incomes : We can see that aid to Africa has increased significantly over the last 40 years and that incomes in Africa have stagnated. Explain why these two facts do not constitute proof that aid is not effective in increasing incomes in Africa.

What is the multiplier in this model : What is the multiplier in this model? The d is suppose to be a little below the Y.

User Account

All Pages