Your budget is $200. The price of good 1 (x1) is $4 per unit, and that of good 2 (x2) is $3 per unit. Then, the equation for your budget line can be written as O 5x1 + 3x2 = 200 ◎ 4x1 + 3x2 = 200 ◎ 4x1+ 4x2 = 200 O 5x1 + 3×2 = 195
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Q1 please help me quickly!! Your budget is $200. The price of good 1 (x1) is $4 per unit, and that of good 2 (x2) is $3 per unit. Then, the equation for your budget line can be written as
O 5x1 + 3x2 = 200
◎ 4x1 + 3x2 = 200
◎ 4x1+ 4x2 = 200
O 5x1 + 3×2 = 195
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Solved in 3 steps
- Your budget is $200. The price of good 1 (x1) is $4 per unit, and that of good 2 (x2) is $3 per unit. Then, the equation for your budget line can be written as 4x1 + 3x2 = 200 4x1 + 4x2 = 200 5x1 + 3x2 = 200 5x1 + 3x2 = 195Rohan’s current marginal utility from consuming peanuts is 100 utils per ounce and his marginal utility from consuming cashews is 200 utils per ounce. If peanuts cost $0.10 per ounce and cashews cost $0.50 per ounce, is Rohan maximizing his total utility from the kinds of nuts? Enter your responses as whole numbers. At the current level of peanut consumption, Rohan receives: utils per dollar.At the current level of cashew consumption, Rohan receives: utils per dollar.Therefore, Rohan maximizing his total utility because MUp/Pp is MUc/Pc.Anna is a Vancouverite who starts off her day drinking either a coffee or a bubble tea. From her part-time job, she has earned P15 that she can spend on either coffee or bubble tea over a month. A coffee costs P1, and a bubble tea costs P1. Draw her budget line, with bubble tea on the y-axis. If she chooses to drink only coffee or only bubble tea for one month, how many of each can she drink?
- Rohan’s current marginal utility from consuming peanuts is 100 utils per ounce and his marginal utility from consuming cashews is 200 utils per ounce. If peanuts cost $0.10 per ounce and cashews cost $0.50 per ounce, is Rohan maximizing his total utility from the kinds of nuts? Instructions: Enter your responses as whole numbers. At the current level of peanut consumption, Rohan receives: utils per dollar.At the current level of cashew consumption, Rohan receives: utils per dollar.Therefore, Rohan maximizing his total utility because MUp/Pp is MUc/Pc.Setting pX = qX and pY = qY, we have: 2x + 4y = 4x + 2y WHY? This is just the equalization of the two budget lines. What does the prices have to do with it? 2x + 4x = 10 x = 2 It doesn't look correct: 6x = 10 is not x = 2 So the price ratio at which Anne is indifferent is 2 bagels per dollar and 0.5 liters of orange juice per dollar, which corresponds to a slope of -2 in the budget line. To find the corresponding value of a, we need to solve for a in the equation: -2 = -pX/pY = -2/4 = -1/2 = (1-a)/a Solving for a, we get: 1/2a = 3/2 a = 2/3 Not clear how the logic and the calculationLee has calculated her marginal utility from buying pizza slices and soda (shown on the table in the worksheet) and wants to use these data to decide how to rationally spend the money she has. The price of pizza is $2.00 and the price of soda is $2.00 question 9 (a) given these prices and your worksheet calculations, what is the first product lee will buy? (b) would lee ever buy four slides of pizza? Why/why not? question 10Given the data in your worksheet, how many pizza slices and sodas lee should buy to maximize her total utility if she rationally spends her budget of 10.00? question 11 when the price of pizza changes, lee's MU/$P changes. If the price of pizza decreases to $1.50 and her budget decreases to $7.50, how many pzza slices and sodas lee should buy to maximize her total utility?
- You are choosing between two goods, X and Y, and your marginal utility from each is as shown in the table below. If your income is $9 and the prices of X and Y are $2 and $1, respectively, what quantities of each will you purchase to maximize utility? What total utility will you realize? Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will you now purchase? Using the two prices and quantities for X, derive a demand schedule (price–quantity-demanded table) for X.Suppose that you initially have $100 to spend on books or movie tickets. The books start off costing $25 each and the movie tickets start off costing $10 each. For each of the following situations, would the attainable set of combinations that you can afford increase or decrease? a. Your budget increases from $100 to $150 while the prices stay the same. b. Your budget remains $100, the price of books remains $25, but the price of movie tickets rises to $20. c. Your budget remains $100, the price of movie tickets remains $10, but the price of a book falls to $15.You are choosing between two goods, X and Y, and your marginal utility from each is as shown in the following table. If your income is $9 and the prices of X and Y are $2 and $1, respectively, what quantities of each will you purchase to maximize utility? What total utility will you realize? Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will you now purchase? Using the two prices and quantities for X, derive a demand schedule (a table showing prices and quantities demanded) for X.
- In the below figure, a consumer is initially in equilibrium at point C. The consumer’s income is $400, and the budget line through point C is given by $400 = $100X + $200Y. When the consumer is given a $100 gift certificate that is good only at store X, she moves to a new equilibrium at point D.d. How many units of product X could be purchased at point B?e. How many units of product X could be purchased at point F?f. Based on this consumer’s preferences, rank bundles A, B, C, and D in order from most preferred to least preferred. (Click to select) D, B, C, A D, C, A, B C, A, B, D A, B, C, D g. Is product X a normal or an inferior good? (Click to select) Normal InferiorPresent a budget line and a budget set for the consumer of two good X and Y, where the consumer has an income of $3,000 per month. Assume the price of X is 2 and the price of Y is 6. Suppose the price of Y decreases to 4. Show how your budget line changes and use your diagram to explain why the price decrease will make the consumer better off. Add at least two indifference curves, using them to show how the decrease in price will change the optimal choice, assuming the law of demand holds for good Y.True or false. A budget constraint, budget line or budget set is a graphical way to illustrate all possible combinations of two goods that a person can afford.
