Answer the question on the basis of the following total utility data for products L and M. Assume that the prices of L and M are $1.5 and $3, respectively, and that the consumer's income is $18   Units of L Total Utility Units of M Total Utility 1 9 1 16 2 15 2 28 3 18 3 36 4 20 4 40 5 21 5 42   What level of total utility does the rational consumer realize in equilibrium?   Multiple Choice   182 utils   63 utils   60 utils   51 utils

Q: You are choosing between two goods, X and Y, and your MU from each is shown in the table below.…

A: Given  Units of x MUx unit of y MUy 1 10 1 8 2 8 2 7 3 6 3 6 4 4 4 5 5 3 5 4 6 2 6 3…

Q: The table shows the utility schedule for a consumer of candy bars.   Number Consumed Total Utility…

A: Answer to the question is as follows:

Q: Suppose a consumer has an income of $120, the price of good X is $24 per unit and the price of good…

A: The marginal utilities will look like: Consumer's utility maximizing bundle is where: MUxPx=MUyPy…

Q: Explain one difference and one example between the Cardinal utility and ordinal utility!

A: Cardinal utility is a Marshallian concept used along with an ordinal utility to gauge the…

Q: When utility function  U(q1, q2)=min{ 25.6 q1,  12.5 q2} and  q1= 99 and q2= 198 are given, find…

A: The Utility function can be represented by   U(q1, q2)=min{ 25.6 q1,  12.5 q2} In general, if…

Q: The table shows the utility schedule for a consumer of candy bars.   Number Consumed Total Utility…

A: The given table provide information about the total utility or total satisfaction an individual gets…

Q: Consider a representative consumer in a two goods economy of x and y. The price of good x is 1 TL…

A: Utility function of two goods X and Y. Price of X = 1TL Price of Y = 3TL MRSXY = 2 Solution: Optimum…

Q: Assume that a combination of two goods reflects a point of tangency between the budget line and an…

A: In consumer theory, the combination of goods and services that a consumer can acquire for his or her…

Q: Marginal utility Quantity of bottled water Quantity of hamburgers Marginal utility from from bottled…

A: Law of Equi-Marginal Utility: When there are two commodities x and y, the condition of the…

Q: The table below shows total utility for two products. Suppose that the price for product A is $5 and…

A: Marginal utility refers to the additional units of satisfaction derived from one more additional…

Q: Complete the following table and answer the questions:   Units consumed Total utility…

A: An individual usually decides his demand based on the satisfaction that he derives from the…

Q: If a consumer has chosen optimally, their Marginal Rate of Substitution is equal to the price…

A: Marginal rate of substitution (MRS) is the rate at which an individual will be willing to substitute…

Q: Describe how rational consumers maximize utility by comparing the marginal utility-to-price ratios…

A: Utility is defining as the level of satisfaction receives while consuming the goods and marginal…

Q: Suppose that a consumer with the utility function U = X0.75 Y0.25 choses a bundle where X=10 and…

A: Marginal utility per dollar is the ratio of marginal utility to the price of the good. It increases…

Q: The table shows the marginal utility schedules for product X and product Y for a hypothetical…

A: Given  Unit of x MUx Unit of Y MUy 1 72 1 24 2 66 2 20 3 60 3 16 4 48 4 12 5 30 5 8…

Q: Q7. Consider a utility function: U (F,C) = FC so MU_F = C and MU_C = F. In Case 1, Total income is…

A: “Since you have posted a question with multiple sub-parts, we will solve the first three subparts…

Q: Answer the table below showing the marginal utility schedules for product X and product Y for a…

A: Given information: Price of product X (Px) = $4 Price of product Y (Py) = $2 Income of the consumer…

Q: Use the Law of Diminishing Marginal Utility to discuss why Market Demand has to have a downward…

A: Utility is the satisfaction  derive by consuming goods and services. And due to law of diminishing…

Q: Answer the question based on the table below showing the marginal utility schedules for product X…

A: We have given that  The price of good x is $3 and the price of good Y is $2 and consumer income is…

Q: Suppose that a consumer with the utility function U = X^.75 Y^.25 choses a bundle where X=10 and…

A: Utility function: The utility function is a key concept in economics that assesses preferences…

Q: Define marginal utility and Provide an argument why to maximize total utility of good x and good y,…

A: The want satisfying power of a good is termed as the utility. The summation of utility derived from…

Q: Avery is currently using up the entire weekly budget she has allocated to purchasing Goods X and Y.…

A: Given  Marginal utility on last unit of good X  that Avery buy by using weekly income = 14 and last…

Q: A consumer consumes two goods and her utility is form by Cobb-Douglas utility function. Her MRS is…

A: A rational consumer utility is maximized at a point where the slope of the budget line is equal to…

Q: You are choosing between two goods, X and Y, and your marginal utility from each is as shown in the…

A: UNIT OF X MUx UNITS OF Y MUy 1 10 1 8 2 8 2 7 3 6 3 6 4 4 4 5 5 3 5 4 6 2 6 3 Given…

Q: Suppose that I = 100, px = 1 and py = 2. How much of good x and good y will Amy optimally choose?…

A: 4) utility function is given by U (X, Y) = X^0.5 + Y I = 100, Px = 1, Py = 2 So budget line would be…

Q: Define and explain the relationship between total utility, marginal utility, and the law of…

A: Law of diminishing marginal utility states as other factors are constant, rise in consumption will…

Q: 4 Part Question on Caesar   * * PART 1 * * Caesar has preferences that are described by the…

A: Well-behaved preferences are monotonic and strictly convex.

Q: Assume that the price of oranges is $2 and the price of starfruit is $1.  You have $10 of income to…

A: utility is the satisfaction derived from the consumption of goods and service . Total utility TU is…

Q: Jean Paul Sartre of Victoria, British Columbia has the total utility for products X and Y shown in…

A: Given: Income=$9 Px=$1.5 Py=$2 To find: Units of product for maximum utility

Q: Q14. The slope of the calculated by taking the price of one good and dividing it by the price of the…

A: Budget constraint shows the combination of total expenditure of goods which are spent by consumer on…

Q: Answer the question on the basis of the following total utility data for products L and M. Assume…

A: Given the income and the prices of the good the consumer aims to maximize the utility. The total…

Q: Total utility (utils) 0 80 120 148 160 155 Quantity consumed per day 0   1     2     3…

A: Quantity consumer per day Total utility (utils) 0 0 1 80 2 120 3 148 4 160 5 155

Q: What is the difference between ordinal utility and cardinal utility? Explain why the assumption of…

A: Meaning of Utility Function: The term utility function refers to the total utility for a consumer…

Q: Lisa views pizzas and burritos as goods.  If she prefers a bundle of 4 burritos and 4 pizzas to a…

A: In a market, when a consumer enters to make purchase activity, he makes rational decisions when…

Q: A consumer has U = 3X0.5Y0.5 for a utility function, with MUx = 1.5 X-0.5Y0.5 and MUy = 1.5…

A: A consumer will maximise utility at a point where marginal rate of substitution is equal to the…

Q: Explain the consumer equilibrium condition according to utility theory. Include in  your answer the…

A: Equilibrium of a Single Good: When a consumer buys a commodity, he stops when the price and utility…

Q: assume that the data in the following table are an indifference curve for a consumer: what is the…

A: Indifferent curve shows the different possible combination of goods nd services that give the same…

Q: Suppose that Boston consumers pay twice  as much for avocados as for tangerines, whereas San Diego…

A: The marginal rate of substitution refers to the slope of the indifference curve that shows the price…

Q: Can you give clear workings of the following question please? Bob views apples and oranges as…

A: Indifference curve: It is a graphical presentation of all the possible combinations of two goods…

Q: Explain the principles, concepts, and theories underlying individual consumers’ behaviour with…

A: Utility is the want satisficing power of a commodity, it differs from person to person and changes…

Q: Define the law of diminishing marginal utility. Given an individual’s income and the prices of two…

A: The optimal amount of SG and H using Equi marginal principal can be determined as follows- The…

Q: Inayah is a rational consumer who consumes milk and cookies only from her monthly income of Rs.…

A: Quantity MU of  milk Rs.500 MU of Cookies Rs.300 1 400 450 2 350 200 3 200 150 4 100 100…

Q: Mrs. Griffiths earns $5000 a week and spends her entire income on dresses and handbags, since these…

A: Budget line represents all feasible combinations of two goods than can be bought using a given level…

Q: Explain whether the following statement is true, false, or uncertain. A consumer consumes two…

A: In a market, if the goods are complements like butter and jam, then a increase in price of bread…

Q: Suppose the following table reflects the total satisfaction (utility) derived from eating pizza:…

A: Law of DMU states that when a person consumes a commodity, the satisfaction he/she derives from the…

Q: Mrs. Griffiths earns $5000 a week and spends her entire income on dresses and handbags, since these…

A: In this problem, the consumer (Mrs Griffiths) consumes handbags and dresses in fixed proportion (i.e…

Q: 44. Answer the next question(s) based on the table below showing the marginal utility schedules for…

A: Marginal Utility (MU) refers to the additional satisfaction enjoyed by consumer from consuming an…

Q: Which of the following statements is correct? Multiple Choice   Marginal utility is the…

A: The measure that in turn depicts the total satisfaction that is being received from the consumption…