Question 8     The price of good X is $1.50 and that of good Y is $ 1.  A particular consumer who evaluates the marginal utility of Y to be 30 utils and is in equilibrium with respect to purchases of   X and Y must consider the marginal utility of X to be:             15 utils             none of the suggested options.             30 utils             45 utils             20 utils

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

A: Total utility means the consumption of goods and services by an individual. It is the addition of…

Q: Q1. You have Rs.10. The price of samosa is Rs.1 per unit. The price of a steak sandwich is Rs.3 The…

A: Income= Rs10 Price of 1 samosa= Rs1 Price of steak= Rs3 Utility maximization:- It refers to notion…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Hi Student, thanks for posting the question. As per the guideline we are providing answers for the…

Q: Using the chart below, what is the marginal utility of consuming the third slice of pizza. Slices of…

A: wants satisfying power known as utility , total utility refers that when you consume all commodity…

Q: John is maximizing utility when consuming two goods, French fries and hot dogs. If the marginal…

A: Utility Maximization is the situation where a consumer spend his all income on goods that maximise…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Utility refers to the total amount of satisfaction that derived from the consumption of goods and…

Q: Lisa consumes only pizzas and burritos.  In equilibrium, her marginal utility of pizza is 20 and her…

A: Optimal consumption bundle is when Marginal utility of pizza / Marginal utility of a burrito = Price…

Q: A consumer who maximizes utility enjoys eating free hot dogs. Calculate the consumer's marginal…

A: Marginal Utility is the additional satisfaction derived by the consumption of one more unit of given…

Q: The marginal utility of the last unit of apples consumed is 10, and the marginal utility of the last…

A: The ratio of the marginal utility of two products is equal to the ratio of prices of the two…

Q: 22. Cameron's preferences can be represented by the utility function u(X, Y) = X0.2y04, If the…

A: We only answer one question so we will answer the first one. Please submit a new question specifying…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Given Information: The budget of Person A is £21 to spend on toothbrushes and toothpaste. The price…

Q: (Review Question) Sarah consumes both wine (x) and cheese y) and considers them perfect substitutes.…

A: Utility: Utility for a consumer can simply be defined as the want-satisfying power that a good…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Income and consumption curve shows the relationship between the level of income and consumption of…

Q: Ahmed consumes 7 cookies. The marginal utility of the first cookie is 25 utils; of the second, 20…

A: Ahmed consumes 7 cookies, and the marginal utility at each unit of consumption of cookie are given…

Q: 23

A: It clarifies why a buyer's interest bend slants descending. Assuming the cost of decent falls, the…

Q: Tanya has a budget of £21 to spend on toothbrushes and tooth paste. she does not receive any utility…

A: Answer - Given in the question - Income = 21 Price of Tooth paste = 5 Price of Tooth Brush = 1  Need…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Utility refers to the total amount of satisfaction that derived from the consumption of goods and…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A:

Q: Question 10 If look at the indifference curves and budget constraint for two goods, X and Y, we can…

A: An indifference curve is a graphic representation of a collection of products that give consumers…

Q: What condition should be met in order for the consumer to maximize satisfaction in the consumption…

A: Consumer Utility Maximisation - Utility maximisation is an important concept in microeconomics. It…

Q: There are only two brands of tennis balls Tom purchases: "Wilson" and "Penn." The more he purchases…

A: Here, Tom purchases two types of balls that are "Wilson" and "Penn." Tom can maximize his utility by…

Q: The marginal utility for the third unit of X is 60 utils, and the marginal utility for the fourth…

A: The law of diminishing marginal utility states that  as consumer consumes more and more of a good,…

Q: Refer to Figure#4 Which of the following statements is true for a consumer who moves from point A to…

A: The above graph shows the different indifference curves. Indifference curves is the locus of…

Q: 10 9 IC, 8 IC, 10 12 Good Y The utility a person gets from consuming an additional unit of Good Y at…

A: An indifference curve shows the various combinations of two goods that give the consumer equal…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Hi, thanks for the question. Since posted multiple questions, we will answer for first question. If…

Q: Why in this question is consumer surplus equal to the utility gained from consumption?

A: The consumer surplus concept is derived from and based on the diminishing marginal utility law.…

Q: spends all of her income on two goods, coffee and doughnuts. She buys coffee at 25 cents per unit…

A: Total utility is the sum of all the utilities derived from the consumption of a good. Whereas, the…

Q: Suppose you consume 3 pounds of beef and 5 pounds of pork per month. The price of beef is $1.50 per…

A: The ratio of the marginal utility of beef to pork can be calculated as follows:…

Q: A consumer is in equilibrium and is spending income in such a way that the marginal utility of…

A: Here,

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Utility refers to the total amount of satisfaction that derived from the consumption of goods and…

Q: The price of goods A and B are 20 and 10 respectively. given that the marginal utility of commodity…

A: Marginal utility is the extra utility experienced with the consumption of an additional unit of a…

Q: The marginal utility of the last unit of apples consumed is 12 and the marginal utility of the last…

A: Marginal utility is the utility derived from the consumption of an additional unit of the good. When…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Utility refers to the total amount of satisfaction that derived from the consumption of goods and…

Q: Joe Bob from Workout Problem 4.12 has a cousin Don who consumes goods 1 and 2. Don thinks that 3…

A: We know that utility function of perfect substitute is the form of straight line equation…

Q: There are only two brands of tennis balls Tom purchases: "Wilson" and "Penn." The more he purchases…

A: Here,  correct option is (c) Tom is increase his satisfaction by doing nothing. Because,…

Q: Imagine Billy eats brownies (B) and cookies (C) and considers them to be perfect substitutes.…

A: A pair of identically used products is referred to as a perfect substitute. The usefulness of a…

Q: Question 7     The law of diminishing marginal utility states that:             Utility derived…

A: The concept of law of diminishing marginal utility was given by Marshall and states that all things…

Q: Assuming that seafood is your favorite food. Would the law of diminishing marginal utility apply to…

A: The law of diminishing marginal utility states that, when the consumer consumes a commodity without…

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: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

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

Q: Suppose you consume xl unit of Goods 1 and x2 units of Goods 2, the utility you get is U(x1, x2) =…

A:

Q: Refer to Table 6-2. The table shows Vladimir's total and marginal utility from eating steaks. What…

A: Aggregate satisfaction a consumer gets from the consumption of any goods or services is known as…

Q: Andrea has a budget of £21 to spend on toothbrushes and tooth paste. He does not receive any utility…

A: Utility refers to the total amount of satisfaction that derived from the consumption of goods and…