Microeconomics, Student Value Edition Plus MyLab Economics with Pearson eText -- Access Card Package (2nd Edition)
2nd Edition
ISBN: 9780134641904
Author: Daron Acemoglu, David Laibson, John List
Publisher: PEARSON
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Question
Chapter 3, Problem 5P
a.
To determine
The changes in benefit value as the number of gallons purchased increases.
b.
To determine
The best number of gallons to purchase.
c.
To determine
The optimal number of gallons of gasoline after imposition of taxes.
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Your total benefits from spending time with your spouse are shown in the following table. Hours per Day Total Benefit 0 0 1 20 2 38 3 54 4 68 5 80 6 90 7 98 8 104 Alternatively, you have the option of working as many hours as you want, earning $11 per hour. Assume this is the next best use of your time. Use the marginal principle to find your optimal number of hours to spend with your spouse per day. The optimal amount of time for you to spend with your spouse is hours per day
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You will get up vote for sure.
Marginal Analysis is an examination of the additional benefits of an activity compared to the additional costs incurred by that same activity. This table displays a marginal analysis of buying an extra slice of pizza. The Marginal Benefit column represents the willingness to pay for each slice. Use the table to determine which of the following statements is most true?
A) You will purchase 1 slice of pizza because the Marginal Benefit of the second slice exceeds the marginal Cost.
B) You will purchase 2 slices of pizza because the Marginal Benefit of the third slice exceeds the marginal Cost.
C) You will purchase 3 slices of pizzas because the Marginal cost of the fourth slice exceeds the Marginal Cost.
D) You will purchase 2 slices of pizza because the marginal Cost of the third slice exceeds the marginal Benefit.
Which of the following statements is most true?
You will purchase 2 slices of pizza because the Marginal Cost of the third slice exceeds the Marginal Benefit.
You will purchase 2 slices of pizza because the Marginal Cost of the third slice exceeds the Marginal Benefit.
You will purchase 3 slices of pizza because the Marginal Cost of the fourth slice exceeds the Marginal Cost.
You will purchase 3 slices of pizza because the Marginal Cost of the fourth slice exceeds the Marginal Cost.
You will purchase 2 slices of pizza because the Marginal Benefit of the third slice exceeds the Marginal Cost.
You will purchase 2 slices of pizza because the Marginal Benefit of the third slice exceeds the Marginal Cost.
You will purchase 1 slice of pizza because the Marginal Benefit of the second slice exceeds the Marginal Cost
Chapter 3 Solutions
Microeconomics, Student Value Edition Plus MyLab Economics with Pearson eText -- Access Card Package (2nd Edition)
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