D1 D2 Quantity (pizzas per month) Quantity (pizzas per month) Figure A Figure B S2 52 Quantity (pizzas per month) Figure C Quantity (pizzas per month) Figure D The above figure shows the market for pizza. Which figure shows the effect of an increase in the price of sandwiches, which for consumers are substitutes for pizza? Select one: O A. Figure A OB. Figure B OC. Figure C O D. Figure D Price (dollars per pizza) Price (dollars per pizza) Price (dollars per pizza) O Price (dollars per pizza)

D1 D2 Quantity (pizzas per month) Quantity (pizzas per month) Figure A Figure B S2 52 Quantity (pizzas per month) Figure C Quantity (pizzas per month) Figure D The above figure shows the market for pizza. Which figure shows the effect of an increase in the price of sandwiches, which for consumers are substitutes for pizza? Select one: O A. Figure A OB. Figure B OC. Figure C O D. Figure D Price (dollars per pizza) Price (dollars per pizza) Price (dollars per pizza) O Price (dollars per pizza)

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter4: Utility Maximization And Choice

Section: Chapter Questions

Problem 4.2P

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11. The income-consumption curve is used to derive an individual’s demand curve.(a) True(b) False
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Joann divides her consumption between books and games. Both books and games are normal goods for Joann. If the price of games rises, and Joann has a very strong income effect, A. Do you expect her to buy more, fewer, or the same number of games? B. Do you expect her to buy more, fewer, or the same number of books? Explains
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QUESTION 8 (Table: Martinez Family Household Income and Expenditures) Use Table: Martinez Family Household Income and Expenditures. The Martinez's income elasticity of demand for falafels, computed using the midpoint method, is: Table: Martinez Family Household Income and Expenditures Monthly Income Quantity Purchases per Month Hamburgers Books Online Movie Rentals Falafel $2,000 2 4 6 8 $3,000 2 6 6 6 a. –1.4. b. approximately –0.7. c. 0. d. approximately 0.7.
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