Nadia likes spare ribs, R, and fried chicken, C. Her utility function is U = 10R°C. Her weekly income is Y = $180, which she spends on only ribs and chicken. If she pays $20.00 for a slab of ribs and $10.00 for a chicken, what is her optimal consumption bundle? Nadia's optimal consumption bundle contains 6 slabs of ribs and 6 fried chickens. (Enter numeric responses using integers.) Suppose the price of chicken increases to $20.00. How does her optimal consumption of chicken and ribs change? Nadia's optimal consumption bundle containsslabs of ribs and fried chickens. (Enter numeric responses rounded to one decimal place.)

Microeconomic Theory
12th Edition
ISBN:9781337517942
Author:NICHOLSON
Publisher:NICHOLSON
Chapter3: Preferences And Utility
Section: Chapter Questions
Problem 3.7P
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Nadia likes spare ribs, R, and fried chicken, C. Her utility function is U = 10R C.
Her weekly income is Y = $180, which she spends on only ribs and chicken.
8.
If she pays $20.00 for a slab of ribs and $10.00 for a chicken, what is her optimal
consumption bundle?
Nadia's optimal consumption bundle contains 6 slabs of ribs and 6 fried
6-
chickens. (Enter numeric responses using integers.)
Suppose the price of chicken increases to $20.00. How does her optimal
consumption of chicken and ribs change?
4-
3-
Nadia's optimal consumption bundle contains slabs of ribs and fried
chickens. (Enter numeric responses rounded to one decimal place.)
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Transcribed Image Text:Nadia likes spare ribs, R, and fried chicken, C. Her utility function is U = 10R C. Her weekly income is Y = $180, which she spends on only ribs and chicken. 8. If she pays $20.00 for a slab of ribs and $10.00 for a chicken, what is her optimal consumption bundle? Nadia's optimal consumption bundle contains 6 slabs of ribs and 6 fried 6- chickens. (Enter numeric responses using integers.) Suppose the price of chicken increases to $20.00. How does her optimal consumption of chicken and ribs change? 4- 3- Nadia's optimal consumption bundle contains slabs of ribs and fried chickens. (Enter numeric responses rounded to one decimal place.) 10 11 12 13 14 15 16 17 18 14) Chicken etv 21 MacBook Air DI DD 30 F10 FB F9 F6 F7 F5 F4 F3 F1 F2 & ! @ # 2$ 7 8 1 2 3 4 { Y Q W J K F A く > C V command opti ption command .. .- * 00 コ エ **
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