What is the difference between a positive and anormative statement? Give an example of each.

Q: What are the conditions for utility maximization?

A: Utility refers to the satisfaction that a consumer gets from consumption of a good or service. It…

Q: what are the exceptions of law of diminising marginal utility ?

A: Marginal utility is the additional satisfaction a consumer gets when consuming additional unit.

Q: How should I spend my money in order to maximize my utility?”

A: Utility refers to the the satisfaction derived by consumption of a good/commodity or a service.

Q: Can someone else measure your utility why or why not?

A: The term "utility" is commonly used in the subject of economics. It can be used to calculate the…

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: Elaborate the concept of Law of Diminishing Marginal Utility

A: A consumer's increased enjoyment from having one more unit of an item or service is referred to as…

Q: How does utility theory differentiate a “need” from a “want”?

A: Utility alludes to the total fulfillment got from the utilization of a thing or service. As the…

Q: Discuss how the utility-maximization model helps highlight the income and substitution effects of a…

A: Q: Discuss how the utility-maximization model helps highlight the income and substitution effects of…

Q: what is satiation point? And how it is helpful in deriving indifference curve

A: An indifference curve shows various combination of two goods that give same level of utility to a…

Q: The law of diminishing marginal utility is consistent with the fact that people trade. Do you agree…

A: In economics, various laws and theories are developed to understand the market behavior in different…

Q: What is meant by Utility ?

A: Economics is a social science that discusses human behavior regarding their unlimited wants in terms…

Q: Distinguish between cardinal and ordinal utility

A:

Q: What are the assumptions of cardinal utility theory? Explain the law of diminishing marginal utility…

A: The Cardinal Utility approach is supported by neo-classical economists, who assume that utility is…

Q: Explain the cardinal and ordinal utility approach ?

A: Utility: Utility is the wants satisfying power of goods or services; in other words, utility is the…

Q: What is cardinal utility theory?

A: Utility is a term referring to the overall satisfaction obtained from consuming a good or service.

Q: How do we measure utility? Explain

A: The utility is the want satisfying power of the commodity. The utility would result in the sense of…

Q: Total utility is the addition of all the marginal utilities that an individual derives from…

A: The want satisfying power of a commodity is called utility. As per Marshallian theory of consumer,…

Q: What do we mean when we say consumer preferences are complete and transitive?

A: Consumer preferences shows the taste of the consumer and how much satisfaction it receives from…

Q: Can the choices below be represented with a utility assignment? How would you assign these…

A: Utility is the satisfaction derived from the consuming the goods and services . And to choose best…

Q: What can be the implications of a positively sloping indifference curve?

A: Indifference curves are those curves that represent combinations of two goods that give the same…

Q: When marginal utility is positive, total utility____

A: Marginal utility is the additional utility derived from having an additional unit of commodity.…

Q: .Enumerate at least five interpretations of the graph of the Total Utility curve 2.Enumerate at…

A: Total Utility Curve: Total utility curve is the combination of consumer demand theory and its…

Q: What does revealed preference theory based on? a) Utility and demand b) Observed consumer behavior…

A: Revealed preference: Revealed preference is a theory relating to somebody's consumption patterns,…

Q: An old nursery rhyme tells us : Jack Sprat would eat no fat; his wife would eat no lean. This tells…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: What part of utility theory would be classified as an abnormality in Thomas Kuhn's view?

A: The utility theory is based on the assumption that consumers are assumed to be rational.

Q: What is meant by form utility?

A: Utility is an economic term which refers to satisfaction.

Q: Explain law of diminishing marginal utility ??

A: Marginal utility is the utility that is derived from the consumption of an additional unit of…

Q: A discussion about psychological law of consumption

A: According to the psychological law of consumption "Increase in income increases consumption but not…

Q: What are the 4 basic assumption of individual preferences?

A: Preferences of consumers are well defined because these are measured by the satisfying power of good…

Q: What is the difference between total utility and marginal utility?

A: Microeconomics discusses the economic behavior of individual units, say a producer, a firm, a…

Q: How does the utility-maximization model help highlight the income and substitution effects of a…

A: The indifference curve shows the different combination of two goods which gives the consumer equal…

Q: Examples of form utility?

A: Utility is defined as the complete satisfaction a consumer derives from the usage of a product or…

Q: goods that they purchase, if they have never heard of 'u marginal utility cannot be measured in any…

A: In economics, utility is defined as the pleasure or benefit gained from consuming a product; thus,…

Q: What is the  purpose of the two fields of study neuroeconomics and behavioral economics?why might…

A: Neuroeconomics tries to link economics, psychology, and neuroscience to glean a better understanding…

Q: The Law of Diminishing Marginal Utility is just a theory that has no application to everyday life.…

A: Utility: It means the total satisfaction received from the consumption of goods and services.

Q: Define Utility? Discuss law of Equi-marginal utility in detial.

A: The utility is the overall satisfaction that a consumer receives from consuming a service or good.…

Q: Enumerate at least five interpretations of the graph of the Marginal Utility curve

A: Marginal Utility refers to the additional utility derived from the consumption of an additional unit…

Q: What is the axiom of consumer choice that implies that consumers spend all their income in order to…

A: The axiom of consumer choice that implies that consumers spend all their income in order to maximize…

Q: d) Cardinal Utility (Discuss why this is rarely used) e) Monotonic Transformation (example below) f)…

A: d. Cardial utility is the concept of giving numerical values to ones utility. For example, utility…