The data beloN shows how the marginal benefit of attending Durham Bulls baseball games varies for Joan with the number of games attended this season.Number of Games Attended This SeasonMarginal Benefit (5)1252015105.5.The price of a ticket is $18 and is equal to the marginal cost of attending each game. Assuming that Joan behaves rationally, she will attendOA. 2 games this season,OB. 3 games this season.OC.5 games this season,O0.1 garme this seasonOE. 4 games this season.

The marginal gain is the increase in overall benefit that an extra unit of an intervention brings.…

The price of a ticket is $18 and is equal to the marginal cost of attending each game. Assuming that joan behaves rationally, she wif attend OA 2 games this season. OB 3 games this seanon. OCSgames this season O0.1 garme this seanon. OE 4 games this season

The price of a ticket is $18 and is equal to the marginal cost of attending each game. Assuming that joan behaves rationally, she wif attend OA 2 games this season. OB 3 games this seanon. OCSgames this season O0.1 garme this seanon. OE 4 games this season

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter22: Frontiers Of Microeconomics

Section: Chapter Questions

Problem 4PA

See similar textbooks

Related questions

Q: QUESTION 5 Even though local newspapers are very inexpensive, people rarely buy more than one of…

A: When an additional (marginal) benefit derived from reading a second newspaper is less than the…

Q: Average waiting time for ordering is 2 minutes. However, in peak - hours, the time increase up to 6…

A: arrival rate The typical number of clients/customers showing up per time span. service rate The…

Q: As I understand we choose the good which has higher marginal utility per dollar . BUT MY QUESTİON İs…

A: ANSWER As I understand we choose the good which has higher marginal utility per dollar . BUT MY…

Q: 1. Consider an exchange economy with two goods, good I and g0od 2, A (Ann) and B (Bob). Anas…

A: Ana had 8 units of good1 and 2 units of good2. Bob has 2 units of good1 and 8 units of good2. Ana's…

Q: a) You are given a utility function described as: U= U(K, L, M) = 10LogK + SLogL. + 2LogM Where K, L…

A: Goods consumed = K, L and M Utility = U= U(K, L, M) = 10logK + 5logL + 2logM Monthly salary = $500…

Q: Chloe's Demand Schedule Price ($/gallon) Quantity Demanded (gallons/year) $6 50 5 100 4 150 3…

A: Willingness to pay is the maximum of the minimum price at which consumer definitely purchase on a…

Q: Ali’s preferences are such that he is willing to trade 4 Hotdogs for 1 ticket to a T-20 Pak-India…

A: Cost of 1 ticket = $40 Cost of 1 hot dog = $8 Therefore Cost of 4 hot dogs = 8x4 = $32

Q: Ashly and Betty consume X and Y. Ashly’s utility function is UA=XA0.6YA0.4 Betty's utility…

A: We have, Price of Y = Py = 1 Let the intial endowment X*A=10 , Y*A= 20, X*B=20, Y*B= 10 Ashly’s…

Q: According to Alan Krueger, drivers who partner with Uber appear to be attracted to the platform in…

A: Economists generally observe the changes in market conditions, and th reaction of the market…

Q: at equilibrium Select one: O a. all of the options O b. Y=C + I+ G O c. Y=AE O d. S+T = |+ G

A: An economy is said to be at its equilibrium level of income when aggregate demand and aggregate…

Q: Consider a town with a single street of 1 km long with 3,000 people spread uniformly along it. Two…

A: Introduction: Demand function: A demand function is a mathematical expression that explains the…

Q: Suppose there are 3 agents i e(1, 2, 3} with preferences over 3 objects j €{a, b, c} as follows:…

A: Answer is given below

Q: The fact that humans are ultrasocial means that: O we're bad at avoiding COVID-19 we tend to see…

A: Ultrasocial refers to the organization of humans and social insects with the division of labor,…

Q: Fish 10 hours Alfredo Fish 12 hours Select one: O a. 2 Fish 10 hours Fish 12 hours 3,3 C 4,1 1,4 O…

A: This is the payoff matric which is payment matrix is a table where the strategies of one player are…

Q: For each of three potential buyers of oranges, the table displays the willingness to pay for the…

A: Introduction The concept of consumer surplus has formulated by Dupuit in 1844. Consumer surplus is…

Q: Consider the following picture: c' D E Which point denotes the endowment point? OA O B OD O E OF

A: Answer -

Q: Assume the following behavioral equations for a macroeconomy: C = 100 + .9Yd ,I = 50, T= $100 and G…

A: Equilibrium output (Y) can be calculated a follows.

Q: A distillery makes whisky, where its profits from production per bottle are given by T =p - y? where…

A: Utility refers to the amount of satisfaction that a consumer gets by the consumption of a good or…

Q: Now fill the empty spots in the table using the information given. Total utility and marginal…

A: Total utility is the sum of all utils derived by consuming all goods . And Marginal utility is the…

Q: study of traffic violations on a busy highway finds nat the number of tickets for speeding written…

A: As the number of tickets for speeding are higher on sunny days, reflects that the drivers may find…

Q: According to PfizerLipitorMonopoly; it will benefit O Benefit managers and consumers O Pfizer only O…

A: PfizerLipitor is a medicines company. It is a monopoly firm. Now there are various market structure…

Q: Ted and Joe each consume peaches, x, and plums, y. The consumers have ider Functions, with MRS =…

A: We have, A consumer had identical utility function as, Peaches = x and plums = y for Joe is given as…

Q: @ Due to heavy ráuns the price o7 ground produce increases i- which core principle o represented in…

A: Given: Due to heavy rainfall, the price of ground produce increases. We will try to elaborate on…

Q: A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or sodas,…

A: "Since you have asked multiple questions, we will answer only first three questions for you, if you…

Q: Select whether the statement is true or false. The economics approach is considered a moral approach…

A: here we find whether the given statement is true or false as;

Q: D1 D2 (A) S2 S1 P 52 (D) (C) Which of the diagrams illustrates the effect of an expected sale next…

A: A demand changes if there is a change in the components of demand and the components are: Change in…

Q: Suppose that 10,000 people are willing to spend a maximum of $20 each to preserve one acre of…

A: In the study of behavioral economics, willingness to pay or WTP is defined as the maximum price, at…

Q: It Can successfully identif nts half fo the time. College students who are turned away receive no of…

A: Answer

Q: O Suppose and I pky the and I play the game reck-paper - sci ssor twice Xrsume mixed stratojos (ran…

A: Assuming Rock - R, Paper - P, Scissors - S Total number of possible outcomes in one game = 3 ( R, P,…

Q: Apr rwth amontoics Gan mee the lewn eoonoms n thur and can ow the lwn in 2 hours Atudentcoomce hort…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Answer the following questions using the following information Columns 1 and 2 in the table below…

A: column 1 unit of A MU MU/$ unit of B MU MU/$ number of $ saved MU MU/$ 1 80…

Q: What in the amount of the producer's expenditures in the market below, given Pa and Qe you define?…

A: From the 1st diagram it can be seen that Total quantity produced (Q) = 18 Marginal cost = 9 No…

Q: Co. XYZ manufactures a product and sells it for $8 per unit. Her fixed costs are $5,000 and her…

A: Co. XYZ sells the produce for = $8 per unit. Fixed costs = $5,000 Variable cost per unit = 2.444…

Q: What price you understand by and budget Consumer has do line? line that Assuming monthly he Spends…

A: A budget is defined as an estimation of revenue and expenditures over a period of time. Revenue…

Q: In a used car market there are two types of cars: bad (B) and good (G). Assume that the utility from…

A: * ANSWER :- From the given information the answer is provided as below as ,

Q: A distillery makes whisky, where its profits from production per bottle are given by 7 = p – y²…

A: Sorry , as per our guidelines we are only allowed to solve only 3 sub parts of the question . But…

Q: q 14. suppose that MUx=10 and MUy=20. Furthur suppose that the consumer's budget constraint can be…

A: Utility:The utility is the power or capacity of the goods and services to satisfy human wants, it is…

Q: 210 For the consumer whose choices are shown in the diagram above, the income effect of the price…

A: Under Hicks substitution method, when there is a price(P) change, the consumer(C) adjusts his money…

Q: Select one or more: Oa Marco can reach point J by borrowing against his future income O b. Borrowers…

A: figure given in the question shows the individual’s intertemporal choice of consumption in the two…

Q: We can construct a Bull Spread by selecting Select one: O a. None of these O b. Buying 150 Jan Call…

A: For constructing a bull spread, one can either use call options or put options. For creating a bull…

Q: Suppose there are two individuals and two goods. The initial endowments are wi = (100, 0) and we =…

A: W1= 100, 0 W2 = 100,100 U1 = x + y U2 = y Given the utility functions above, we can infer that for…

Q: a. A young connoisseur has $600 to spend to build a smallwine cellar. She enjoys two vintages in…

A: a) Given utility function :- U (wF, wC))=wF2/3 wC1/3 PF = $40 PC = $8 where PF and PC are the prices…

Q: There are four consumers willing to pay the following amounts for haircuts, and there are four…

A: Consumer surplus is the difference between what the consumer is willing to pay and what he actually…

Q: (a)lf we allow for the possibility of satiation, the consumer's budget constraint takes the form pxs…

A: Walras' law is a statement in general equilibrium theory that states that, regardless of whether the…

Q: If an economy can produce various combinationsof food and shelter along a productionpossibilities…

A: The nations around the world tend to operate on the basis of the basic economic model. The economic…

Q: 18. Markets are gooc outcome? f so,

A: The market works through the market forces of demand and supply. The changes in the demand and…

Q: Every year the residents of a historical town gatherto determine how much to spend on their park,10…

A: There is a situation where everyone votes for the same percentage, they will spend that amount…

Q: Tea and Coffee is an example of complementary goods Select one: O a. False O b. True

A: The markets around the economy tend to operate on the basis of the demand from the buyers, and the…

Question

The data beloN shows how the marginal benefit of attending Durham Bulls baseball games varies for Joan with the number of games attended this season.
Number of Games Attended This Season
Marginal Benefit (5)
1
25
20
15
10
5.
5.
The price of a ticket is $18 and is equal to the marginal cost of attending each game. Assuming that Joan behaves rationally, she will attend
OA. 2 games this season,
OB. 3 games this season.
OC.5 games this season,
O0.1 garme this season
OE. 4 games this season.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Situation A: If a person lives for 3 years with a disease and the current standard of care for that disease means he/she lives with a utility level of 0.7 .-What is the QALY? If that person takes a new medicine (Medicine A) because of which his/her utility level increases to 0.8,-What will be the new QALY? Calculate the benefit of new medicine.
#3. Hannah gets 50 utils from visiting her family for Thanksgiving. But there is a 1% chance that she will get the coronavirus from them. If she gets the coronavirus, her utility is -6000 utils. Her total utility would be -5950 (i.e. 50 – 6000). She gets 0 utils from staying healthy (total utility = 50 + 0 = 50). If Hannah doesn't visit her family for Thanksgiving, then she gets -25 utils from eating turkey cold cuts alone in front of the TV. In that case, there is no risk of getting sick. What will Hannah do? a. Visit her family for Thanksgiving b. Not visit her family for Thanksgiving c. Visit her family if she is risk-loving, not visit if she is risk-averse d. Visit her family if she is risk-averse, not visit if she is risk-loving
Computer models of global climate changecaused by increasing carbon dioxide in the atmosphere predictnot only higher overall temperatures, but also more intense andfrequent heat waves. During the devastating European heatwave in the summer of 2003, between 35,000 and 52,000“excess deaths” occurred. Before taking specific actions toreduce carbon dioxide emissions, economists and politicians tryto estimate the costs. Should excess deaths be included as acost of inaction? If so, what value should we place on a life?
Studying has both costs and benefits. If you continue tostudy (e.g., for a test) for as long as the marginal benefitsof studying are greater than the marginal costs, and youstop studying when the two are equal, will your actionbe consistent with having maximized the net benefits ofstudying? Explain your answer.
Consider Ron’s demand for after school care for his children. The marginal benefit Ron receives for every hour of childcare is provided in the accompanying table. After school childcare(hours per day) Marginal benefit($ per hour) 1 $32 2 $30 3 $20 4 $14 a. If an hour of childcare costs $24, how many hours will Ron purchase each day? Assume Ron can only purchase care in one-hour increments (no partial hours). b. If an hour of childcare costs $18, how many hours will Ron purchase each day? Assume Ron can only purchase care in one-hour increments (no partial hours).
7 Consider the following screening test for cancer applied to 100,000 people of whom 100 have cancer. Each test costs $6.50, picks up 75% of cancer cases., and additionally, 12% of the time, falsely diagnoses cancer. Detection of cancer (rightly or wrongly) leads to a further exact diagnostic test that costs $100. Correct early detection of cancer by the test is valued at $10,000 What is the marginal benefit of doing the test? What are the marginal costs of doing the test
Suppose the administration of a University that is located a high-crime urban area mustdecide on a policy to increase policing on its campus. The student population is 10,500 students but iscould increase if crime is reduced. The cost of added policing in terms of additional salary and equipmentis estimated to be $2.4 million per year. Suppose the administration plans to make their decision with thehelp of a benefit cost analysis of the policy. VSL is $11.8 million a. Explain how the concept of Value of a Statistical Life might factor into a benefit cost analysis of thispolicy. b. How many lives would need to be save to justify the added policing costs if only prevented deathswere considered as the policy benefit? c. Suppose it is believed that student enrollment will increase in the future if crime on campus is reduced.Write a formula to calculate the present value of benefits of policing if student enrollment increases by4% each year.
2) What proportion of lung cancer deaths among all smokers can be attributed to smoking?
In what ways (it) company investments in research and development create positive externalities?
Juanita is deciding whether to buy a suit that she wants, as well as where to buy it. Three stores carry the same suit, but it is more convenient for Juanita to get to some stores than others. For example, she can go to her local store, located 15 minutes away from where she works, and pay a marked-up price of $104 for the suit: Store Travel Time Each Way Price of a Suit (Minutes) (Dollars per suit) Local Department Store 15 104 Across Town 30 87 Neighboring City 60 80 Juanita makes $36 an hour at work. She has to take time off work to purchase her suit, so each hour away from work costs her $36 in lost income. Assume that returning to work takes Juanita the same amount of time as getting to a store and that it takes her 30 minutes to shop. As you answer the following questions, ignore the cost of gasoline and depreciation of her car when traveling. Complete the following table by computing the opportunity cost of Juanita's time and the total…
Environmental Crime and Punishment Economists tend to view the decision by an individual to comply with an environmental law in terms of economic motivations. While good citizenship—obeying the law simply because it is the law—certainly plays a role in affecting behavior, it is also useful to analyze compliance decisions in terms of benefits and costs. Figure 14.3 illustrates a hypothetical marginal cost–marginal benefit analysis for a manager in a coal-fired power plant who has to decide what percentage of the time he or she plans to be in compliance with the sulfur dioxide emission standards on his or her state permit. The benefits that come from complying with environmental laws are essentially the avoided costs of punishment: monetary costs (fines and penalties), a damaged reputation (both for corporations and individuals), and the fear of jail terms. The expected benefits depend on two factors: the magnitude of the punishment if imposed and the likelihood of…
6. Which is the best example of health care insurance in the sense of socializing risk?a. A dental insurance policy that pays for two check-ups a year but nothing else.b. A comprehensive health care policy that essentially pays for everything including check ups but is very expensivec. A health care policy that is relatively inexpensive but only pays for medical expenses after a $2,000 annual deductible is met. After $2,000 the policy pays 100 percent for everything.