A. Consider a monocentric urban economy in which every household has the same income and the same tastes. One worker from each household commutes to the CBD. Amenities and public goods are the same throughout the urbanized area. Assume that annual commuting cost per mile for each commuter is t=$500. Housing is a normal good. a. Give a general expression for the slope of the housing-price curve. What are the units of the housing price curve? b. The Smith family rents a1000 sq. foot apartment. What is the slope of the housing price curve where the Smith family lives? Explain.

What are four responses to the claim that people should not behave in the way described in this chapter?

A consumer’s preferences over two goods x and y are given bythe utility function U(x, y) = x^αy^β with α, β > 0. The prices of the goods are px = 2 and py = 4.The consumer has an income of I > 0.• For what values of α and β are these utility functions strictly monotone?• For what values of α and β will the consumer demand (i.e., Walrasian demand) be more x than y?• For what values of α and β are these goods gross substitutes? For what values of α and β are these goods gross complements? Provide a justification for your answer.

Time remaining:00 :09 :39EconomicsUse the following to answer questions (29) - (31):In the town of “One Horse” there is one movie theater. Two groups of consumers, adults (A) andchildren (C), attend this theater. Suppose the demand for movies by adults is given by:QA = 50 - 0.50PA, where PAis price ofan adultmovie ticket(in cents)and QAis the numberofmovie tickets sold to adults atthe theater. Suppose the demand for movies by children is given by:QC = 20 - 0.50PC,where PCispriceofa children’s movie ticket(in cents)and QCis the numberofmovie tickets sold tochildren atthe theater. Also, imagine totalcostis fixed at$450, thus makingmarginalcostofprovidingonemore movie ticket to either an adult or a child constant at zero.[29]Ifthe movie theateris able to price discriminate amongits two groups ofconsumers, then itshouldcharge a higher price to group A.A.TrueB.False[30]Ifthemovie theateris able to price discriminate amongits two groups ofconsumers, then itsmaximum profit is closest in value…