Answered: 9. Below is the total benefit Kenneth…

9. Below is the total benefit Kenneth estimates he would get for jars of chocolate-flavored hazelnut butter. Jars Total Benefit (dollars) 1 5 2 9 3 12 4 14 5 15 6 14 7 10

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 7PA: Maria has decided always to spend one third of her income on clothing. a. What is her income...

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Question

9. Below is the total benefit Kenneth estimates he would get for jars of chocolate-flavored hazelnut butter.

Jars	Total Benefit (dollars)
1	5
2	9
3	12
4	14
5	15
6	14
7	10

What is Kenneth's optimal quantity consumed if the price of each jar is $4?

12. What will happen to the market supply curve of gadgets if a new gadget producer enters the market?

It will not change.

It will become more elastic.

There is insufficient data to determine.

It will shift right at every price with more output supplied.

It will shift left at every price with less output supplied.

Defintion Defintion Curve that represents the graphical relationship between the total supply of goods and services and the price level in the economy. When the price level increases, producers tend to supply more of a product in the market to earn a higher revenue or vice versa.

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