If the utility function is : u= q1q2. find the slope of an indifference curve. What will be its slope when q1 = 25, q2= 10 ?

Q: Suppose that indifference curves are described by straight lines with a slope of −b. Given arbitrary…

A: Straight-line indifference curve: The straight-line indifference curve has a constant slope…

Q: Consider the following indifference curves. U1 U3 U4 U2 Which indifference curves violate the…

A: Convexity of indifference curves imply averages are preferred over extremes.  It implies that…

Q: Provide short answer for the following? Diminishing marginal utility.         2. Indifference…

A: 1.Diminishing marginal utility. it implies that keeping other things unchanged as we consume more…

Q: We claimed in the text that if preferences were monotonic, then a diagonal line through the origin…

A: Indifference curve refers to the graphical representation of various combinations of two goods,…

Q: Is the indifference curve of U(x1,x2)=max(x1,x2) considered to be the curve for a perfect complement…

A: The utility function for perfect complements is given by: U(x1, x2) = min (x1, x2). Suppose a…

Q: What information is contained in an indifference curve? Why are such curves:      Downward sloping…

A: We will answer the first question since the exact one was not specified. Please resubmit the…

Q: Which of the following utility functions represent preferences which do not satisfy monotonicity? U=…

A: Monotonic preferences refer to such consumer preferences towards the greater consumption of goods…

Q: Consumer attains his or her equilibrium at a point where the budget line:- (1) is below indifference…

A: The consumers in an economy are considered to be one of the most important entities in the market.…

Q: given the utility function U=150X+40X2-X3, derive average and marginal utility functions, Find the…

A: Answer: Given, Utility function: U=150X+40X2-X3 Average utility function (AUF): To find the average…

Q: For each of the following utility functions (i) derive the equations describing the indifference…

A: Note: As per the guidelines we're only entitled to answer only first three parts of the MCQ type…

Q: If the utility function of a consumer is given by U(X, Y)= VX+ 2vY. Which one of the following…

A: Indifference curve is the curve which shows the combination of two goods in which consumer gets the…

Q: Suppose you have the following Utility function: U = U(x, y) = (x − γ) ^α (y − δ) ^β (a) Write…

A: U(x, y) = (x − γ)α (y − δ)β Total Differential : dU=[∂U/∂x]dx+[∂U/∂y]dy ∂U/∂x=α(x − γ)α-1(y − δ)β…

Q: If the price of one of the products is associated with indifference curves increase, all else the…

A: Answer - If the price of one of the products is associated with the indifference curves increase,…

Q: True or false.  Indifference curves are a graphical way to illustrate a person's tastes and…

A: The economics as a study is based upon the basic idea that the economies, and the societies around…

Q: Let the utility function of a consumer is given by the following function U = (x + 1)(y + 1) a. Find…

A: Given utility function  U=x+1y+1             ............ (1)

Q: ighted twice as heavily as the 1st, what would your indifference curves between the two homework…

A: A utility perform might be a numerical connection that positions heaps of utilization stock by task…

Q: True or false.  Assuming utility positively depends on two goods, indifference curves can be upward…

A: An indifference curve is a graph that depicts the combination of two commodities that provide equal…

Q: Derive utility maximisation of a consumer using the tool of indifference curve analysis

A: An indifference curve is defined as a curve which shows various combinations of two goods that the…

Q: discuss the three assumptions of indifference curves.

A: "Utility is the usefulness of a commodity for the consumer." When the consumer derives the same…

Q: Consider a consumer, he has the utility function: u(x1, X2) = xỉ * Could you find a monotone…

A: A utility function represents homothetic preferences when it is homogeneous of degree n.

Q: Consider a consumer, he has the utility function: u(x1, x2) = xỉ * X2 Could you find a monotone…

A: a) Monotonic transformation means transforming one set of numbers into another set of numbers…

Q: 47. When indifference curve is L shaped, then two goods will be

A: Answer is given below

Q: What are indifference curves?

A: The utility is a want satisfying power of a commodity. Marginal utility is the additional utility…

Q: Isn't the utility function is perfect complement: min{} and the indifference curves should be…

A: A potential extension to the analysis is general equilibrium analysis or how demand and supply…

Q: Explain the derivation of the demand curve of a consumer using the indifference curve theory.

A: At the utility-expanding arrangement, the consumer's marginal pace of replacement (the total worth…

Q: Explain how indifference curves can never cross.

A: Indifference curves can never cross each other. We can explain this with the help of the two axioms…

Q: t is the property of indifference curve that no two ICs can intersect each other because:   a. same…

A: According to the ICs property that two ICs cannot intersect each other-  The arcs of indifference…

Q: Depict utility function on a number line: U(x)=(x-6)^2 Indifference set around x=3 Lower contour set…

A: Utility function is defined as a function that measures the satisfaction derived by a consumer as a…

Q: True or False? The preferences represented by the utility function u(x, y) = A + 0.4 * log(x) + 0.6…

A: In economics, utility refers to the pleasure or happiness that consumers derive from using a product…

Q: Discuss five properties of indifference curves and their relevance for consumer theory

A: Indifference curves represents the utility obtained by a consumer as a combination of two goods.

Q: Which feature of indifference curves guarantees this result? a. Concavit of indifference curves b.…

A: An indifference curve(IC) is a locus/contour of the different bundle that has the same utility at…

Q: Why is it impossible for two indifference curves to intersect one another?

A: Indifference curves show various combinations of goods between which the consumers are indifferent.…

Q: T/F Explain If preference is strongly convex, the utility function will exhibit dimin- ishing…

A: The satisfaction or benefit acquired from consuming a product is referred to as utility;…

Q: A convex indifference curve implies what type of behavior? diminishing marginal utility…

A: Indifference curve are defined as the locus of the points with same utility level at each point.

Q: show that an indifference curve cannot be thick (cannot have positive thickness, rather than being…

A: An indifference curve, with relevancy two commodities, could be a graph showing those combinations…

Q: Since the consumer is indifferent between all points on an indifference curve, no point is…

A: According to the consumer theory, if an individual is consuming the positive amount of two goods…

Q: Henrietta's utility function is U(x1, x2)Xị + x How do Henrietta's indifference curves look? a. b.…

A: Given that,  The Henrietta's utility function.

Q: Q-: Define indifference curve and elaborate different varieties/types of indifference curve

A: An indifference curve shows a combination of two goods or services that provide the consumer with…

Q: An indifference curve is also known as___________.

A: Indifference curve - It is a graph that depicts the combination of two goods where at every point…

Q: True or False. As you move to the right of any indifference map, consumer utility always increases.…

A: The indifferent map represents different bundles of two commodities that an individual can consume…

Q: MRS is constant along a linear indifference curve

A: An indifference curve is a curve that represents the combination of two goods that give a consumer…

Q: True or false.  A change in prices or income can alter preferences and thus the indifference curves…

A: In the mentioned question, we are asked whether there is any shift seen in the indifference curve…

Q: If a consumer is indifferent between two consumption bundles: The two bundles lie outside the budget…

A: Ans 1) A consumer is a person who demands goods and services. He chooses between different variety…

Q: Indifference curves are convex to the origin because of: A) the assumption that more is preferred to…

A: Indifference curve shows combinations of two goods that give same level of utility to consumers.

Q: Outline the four properties that apply to all indifference curves.

A: Indifference curve shows the combination of two good that gives the same level of satisfaction to…