U = U ( x 1, x2)  = (x1 + 2) 2 (x2 + 3) 3

Q: Which statement BEST describes the principle of diminishing marginal utility? As an individual…

A: According to the law of diminishing marginal utility, as we consume more and more of a good then the…

Q: Define Economic utility

A: Economics studies the behavior of consumers and producers and tries to understand the factors which…

Q: Which of the following statements is false? Group of answer choices If marginal utility is negative,…

A: Total utility is the addition of marginal utility. As long as the marginal utility is positive,…

Q: For the utility function above, if the price of the good is $4, what is the marginal Utility per…

A: Marginal utility is the incremental/additional gain in total utility when one additional unit is…

Q: Which of the following statements is true?     Total utility is the extra satisfaction from the…

A: Utility refers to the satisfaction received from consumption of a good or service. In other words,…

Q: If the total utility from consuming seven units of a product is 336 and the marginal utility of a…

A: Total utility means the amount of total satisfaction that a consumer gets from consuming the goods.…

Q: You are choosing between two goods, X and Y, and your marginal utility from each is as shown in the…

A: Units of X MUX Units of Y MUY MUX/Price of X MUY/Price of Y Total utility of X Total utility of Y…

Q: Number of candy bar per day Total Utility Marginal Utility 1 40 75 3 100 4. 115 Number of Juice pack…

A: Total Utility is the sum of utility that is derived by consuming a given good or service.  Marginal…

Q: Suppose the utility function of a person consuming two commodities X and Y with income Birr 600 is…

A: Given values in the question are following -:…

Q: Heather and Jeremiah both enjoy sunflower butter (s) and jelly (j) sandwiches, but they have varying…

A: As per the question sunflower butter and jelly are the two complementing goods for both Heather and…

Q: (1)A utility maximizing consumer purchases two commodities. The utility function is U= Q1 Q2 + 3Q1 +…

A:

Q: If the marginal utility function of an individual takes the form U = U (x1, x2) = (x1 + 2)2 (x2 +…

A: Given, the utility function: U=U(X1, X2)=(X1+2)2(X2+3)3 i) Marginal Utilities: MUX1…

Q: Martha spends 5 hours of free time exercising and playing music per day. The table below represents…

A: Utility refers to the level of satisfaction that a consumer receives by consuming a good. A rational…

Q: A child is given $8.80 of pocket money to be spent on either hard candies or chocolates. Chocolates…

A: Here, given information is: Price of chocolates: 40 cent Price of candles: 80 cent Total spending:…

Q: Which of the following are true regarding the law of diminishing marginal utility? The more a person…

A: The marginal utility derived from each additional unit decreases as consumption increases, according…

Q: The utility function of a certain good is given by U(x) = 60x - x2 where x represents the number of…

A: Given the utility function, we will maximize the function to get the value of x which gives the…

Q: For the utility function U(X,Y)= 6X0.50.5, the marginal rate of substitution MRSxy is: O Y/X. O X/Y.…

A: Given:- Utility function, U(X,Y)=6X0.5Y0.5 To calculate:- MRSxy=?

Q: Describe how rational consumers maximize utility by comparing the marginal utility-to-price ratios…

A: Utility is defining as the level of satisfaction receives while consuming the goods and marginal…

Q: Suppose the utility function is represented by the following equation: U (X, Y) = XY + X + 2Y + 2…

A: A budget limitation refers to the different combinations of goods and services that a consumer can…

Q: . Construct an indirect utility function that corresponds to the direct function U = a In q1 + q2.…

A: We have  Utility function: U=αlnq1+q2          .... (1) First, we will find the Marshallian demand…

Q: Suppose that a consumer with the utility function U = X0.75 Y0.25 choses a bundle where X=10 and…

A: Marginal utility per dollar is the ratio of marginal utility to the price of the good. It increases…

Q: Ceja has utility function U=A2*B2 , where A equals the number of apples she eats each week, while B…

A: The indifference curve is a downward sloping curve which shows the negative relationship between two…

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: Use the Law of Diminishing Marginal Utility to discuss why Market Demand has to have a downward…

A: Utility is the satisfaction  derive by consuming goods and services. And due to law of diminishing…

Q: Suppose that a consumer with the utility function U = X^.75 Y^.25 choses a bundle where X=10 and…

A: Utility function: The utility function is a key concept in economics that assesses preferences…

Q: Assume the marginal utilities for the first 3 units of a good consumed are 200, 150, and 100,…

A: In Economics, Utility refers to the total satisfaction received from consuming a goods or service.

Q: Consider the following utility function: u(x1,x2) = x1 + x2. (A): i) Restate the consumer problem.…

A: * Hi there , as there are multiple questions posted . Following our guidelines we can only solve the…

Q: You are choosing between two goods, X and Y, and your marginal utility from each is as shown in the…

A: UNIT OF X MUx UNITS OF Y MUy 1 10 1 8 2 8 2 7 3 6 3 6 4 4 4 5 5 3 5 4 6 2 6 3 Given…

Q: or the utility function (x^3)(z^2)Provide a positive linear transformation of the utility function,…

A: We are going to use log method to answer this question.

Q: Describe the two approaches of utility analysis !

A: Utility: Utility is simply the want satisfying power that a commodity possesses. In other words,…

Q: If the marginal utility from consuming the sixth unit of a product is 8 and the total utility from…

A: The total utility is the total satisfaction received by consuming the goods and services. The…

Q: Assume that Rossi consumes only bananas and avocado. Fortunately, she likes both goods. The…

A: X1 represents consumption of bananas per week X2 represents consumption of avocado per week.…

Q: Suppose that consumer uses 1 units of X and 7 units of Y always in fixed proportion. Then, what…

A: There are two goods, i.e., X and Y A consumer uses 1 unit of X and 7 units of Y in a fixed…

Q: Martha spends 5 hours of free time exercising and playing music per day. The table below represents…

A: Theory of diminishing marginal utility states that, with other things being equal, there would be a…

Q: Find marginal utility MU for a consumer consuming x amount of a given commodity, where his total…

A: Utilty is defined as the satisfaction which the consumer gets by consuming the homogeneous units of…

Q: Given the utility function, where U is the total utility and x and y are the commodities consumed,…

A: U(x,y) = (5x+3)2(4y+2)3

Q: QUESTION 8 If a consumer's preferences are represented by the utility function: U(x,y)=min{4x,y}…

A: This is a perfect complements utility function. Perfect complements are those goods which are…

Q: Total utility (utils) 0 80 120 148 160 155 Quantity consumed per day 0   1     2     3…

A: Quantity consumer per day Total utility (utils) 0 0 1 80 2 120 3 148 4 160 5 155

Q: What is the difference between ordinal utility and cardinal utility? Explain why the assumption of…

A: Meaning of Utility Function: The term utility function refers to the total utility for a consumer…

Q: Assume the budget constraint and the indifference curves are both linear. Assume the consumer is…

A: An indifference curve measures the combination of two goods that provides the same amount of…

Q: Assume that a person’s utility depends on two products, x and y. The utility function is given by…

A: Marginal utility of x and y can be calculated from the above utility function just by differentiated…

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…