Pearson eText Economics -- Instant Access (Pearson+)
13th Edition
ISBN: 9780136879459
Author: Michael Parkin
Publisher: PEARSON+
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Question
Chapter 8, Problem 26APA
a)
To determine
The value of commodities.
b)
To determine
The paradox of value.
Expert Solution & Answer
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Students have asked these similar questions
Question 2
Ari intends to purchase a new car and has narrowed it down to a Dodge Ram truck or a Toyota Camry. A Dodge Ram truck
costs $55000 while a Toyota Camry costs $20000. The utility that Ari will get from Dodge Ram truck is 12500 while Toyota
Camry will generate a utility of 2500.
Note: A purchase generating utility tells us the marginal utility of the good.
What is the Marginal Utility per Dollar for Dodge Ram truck?
What is the Marginal Utility per Dollar for Toyota Camry?
Will Ari be better off buying a Dodge Ram truck or a Toyota Camry?
ODodge Ram truck
OToyota Camry
A
The table shows Jerry's total utility from lottery tickets
and candy bars.
The price of a lottery ticket is $2, the price of a candy bar is
$4, and Jerry has $12 a week to spend.
Calculate Jerry's marginal utility from the fourth
lottery ticket and marginal utility per dollar when he buys 4
lottery tickets. Calculate Jerry's marginal utility from the
second candy bar and marginal utility per dollar when he
buys 2 candy bars
>>> Answer to 1 decimal place.
…………
Jerry's marginal utility from the fourth lottery ticket is
units.
The marginal utility per dollar from lottery tickets when
Jerry buys 4 lottery tickets is units per dollar.
Jerry's marginal utility from the second candy bar is
units.
The marginal utility per dollar from candy bars when Jerry
buys 2 candy bars is units per dollar.
C
Lottery tickets
Total
utility
0
14
24
32
38
Quantity
per week
0
1
2
3
4
Quantity
per week
ܘ ܝ ܚ ܚ ܂
2
3
Candy bars
4
Total
utility
0
100
120
134
144
Chapter 8 Solutions
Pearson eText Economics -- Instant Access (Pearson+)
Ch. 8.1 - Prob. 1RQCh. 8.1 - Prob. 2RQCh. 8.1 - Prob. 3RQCh. 8.1 - Prob. 4RQCh. 8.2 - Prob. 1RQCh. 8.2 - Prob. 2RQCh. 8.2 - Prob. 3RQCh. 8.2 - Prob. 4RQCh. 8.3 - Prob. 1RQCh. 8.3 - Prob. 2RQ
Ch. 8.3 - Prob. 3RQCh. 8.3 - Prob. 4RQCh. 8.3 - Prob. 5RQCh. 8.4 - Prob. 1RQCh. 8.4 - Prob. 2RQCh. 8.4 - Prob. 3RQCh. 8.4 - Prob. 4RQCh. 8 - Prob. 1SPACh. 8 - Prob. 2SPACh. 8 - Prob. 3SPACh. 8 - Prob. 4SPACh. 8 - Prob. 5SPACh. 8 - Prob. 6SPACh. 8 - Prob. 7SPACh. 8 - Prob. 8SPACh. 8 - Prob. 9SPACh. 8 - Prob. 10SPACh. 8 - Prob. 11SPACh. 8 - Prob. 12SPACh. 8 - Prob. 13SPACh. 8 - Prob. 14SPACh. 8 - Prob. 15SPACh. 8 - Prob. 16APACh. 8 - Prob. 17APACh. 8 - Prob. 18APACh. 8 - Prob. 19APACh. 8 - Prob. 20APACh. 8 - Prob. 21APACh. 8 - Prob. 22APACh. 8 - Prob. 23APACh. 8 - Prob. 24APACh. 8 - Prob. 25APACh. 8 - Prob. 26APACh. 8 - Prob. 27APACh. 8 - Prob. 28APACh. 8 - Prob. 29APACh. 8 - Prob. 30APACh. 8 - Prob. 31APACh. 8 - Prob. 32APA
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