Acustomer has purchased one pack of 100 pairs of disposable face masks The price of the second packis $45, and the burer estitmated its net benefit from buying this second pack to exceed $50 What should the buyer do? Select one a The buyer should not buy the second pack as buying the second pack will increase total benetts by less than total costs b. The buyer should not buy the second pack as buyinig the second pack will ancrease total benefits by more than total costs C The buyer should buy the second pack because the marginal beneft of the second packis so gh that its marginat cost does not matter any more d. The buver should buy the second pack because the marginal beneft of the second pack eceeds the marginal cost

Acustomer has purchased one pack of 100 pairs of disposable face masks The price of the second packis $45, and the burer estitmated its net benefit from buying this second pack to exceed $50 What should the buyer do? Select one a The buyer should not buy the second pack as buying the second pack will increase total benetts by less than total costs b. The buyer should not buy the second pack as buyinig the second pack will ancrease total benefits by more than total costs C The buyer should buy the second pack because the marginal beneft of the second packis so gh that its marginat cost does not matter any more d. The buver should buy the second pack because the marginal beneft of the second pack eceeds the marginal cost

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

- Cons X ∞ Chapter 6 - Cons X sments/632bc3fe081cee0063847766 00 Course Catalog - X ∞o Exam 1 - Chapter X = 6.2 How Changes X Chapter 6 - Consumer Choice OPEN OFirst Class Economy What is the Marginal Utility per Dollar for an economy ticket? Will Ari be better off booking a first class or an economy ticket? 00 Course Catalog - x + Ari needs to book a flight between Minneapolis and Los Angeles and has a choice between flying in first class or economy. A first class ticket costs $1140 and an economy ticket costs $200. The first class ticket generates $1430 of utility and the economy ticket generates $380 value of utility. Note: A purchase generating utility tells us the marginal utility of the good. What is the Marginal Utility per Dollar for a first class ticket? I 12 ☆ 9- la
MRS=-20 along Ray 1 , MRS=-15 along Ray 2 Draw this consumer’s budget constraint, BAB, and indifference curve. Be sure to label your graph completely. Ignore all other indifference curves and bundle
Only typed answer and please don't use chatgpt otherwise I downvote the answer
Q3. The table below depicts the maximum buying prices and minimum selling prices that potential buyers and sellers have for a horse. Assume that a horse is considered to be a good of the first order. Potential Buyer $300 $280 $260 $240 $220 $210 $200 $180 $170 $150 Al A2 A3 A4 AS A6 A7 A8 A9 A10 Potential Seller $100 $110 $150 $170 $200 $215 $250 $260 Bl B2 B3 B4 B5 B6 B7 B8 (a). Based on the original valuations of potential buyers and sellers in the table above, identify the market clearing price that will bring this market to a state of rest. Provide a description of the important properties of this price. (b). Distinguish between the original valuations with which the market participants enter the market and the momentary valuations that prevail when they engage in exchange. Focusing on the potential sellers, explain why each of them would try to align their momentary valuations with the market clearing price? (c). Assume now that trade takes place at a price that is not the market…
Answer this question
Gilberto's reservation prices for tubs of hummus are given below. Q (Tubs) Reservation Price Answer: ($) 1 2 22 IN 3 16 4 14 5 6 at 28 13 11 Gilberto can also consume other foods which give him a constant marginal utility of 8.8 utils and cost $6.2. What is Gilberto's marginal utility from the 4th tub of hummus?
c and d please
741 Ny 7:0 Mond Content X + ultra/courses/_99030_1/cl/outline manipic cempo me manipic accompis. INIU Force Completion. This test can be saved and resumed later. BILLETTE Your answers are saved automatically. * Question Completion Status: QUESTION 1 The goal of the consumer is to maximize the total utility or satisfaction derived from their purchase choices, given the unique budget constraint. To calculate total utility of a given combination of T-shirts and movies, one would use the following approach: O a. For a given combination of T-shirts and movies, survey a group of individuals to determine an average for utils to be assigned to the number of T-shirts and movies. O b. For a given combination of T-shirts and movies, use Google to identify the number of utils associated with the number of T-shirts and movies and thenlum them. O c. For a given combination of T-shirts and movies, assign a number of utils to that combination. O d. Use utils as a measure of utility, assigning a…
Problem 1 Mary has the following utility function: u(x, y) = I = 10 and the prices originally are p̟ = 1 and p, = 2 3 In(x) + 2y. Her income is given by %3D (a) What are Mary's marshallian demands? (b) How much of each good is Mary currently consuming? (c) What is the utility level that Mary can achieve? (d) Assume the price of r increases to p, = 3, find Mary's new levels of consumption. (e) Find the total, substitution and income effects for good r caused by the price change. Consider this price change a "large" price change (Apz = p, - Px = 3 – 1 = 2).
Columns 1 through 3 in the table below show the marginal utility which a particular consumer would get by purchasing various quantities of products A, B, and C. (1) Unit 1 2 696 AWN 3 4 5 7 (2) Marginal utility, A 18 16 14 12 10 8 6 (3) Marginal utility, B 39 36 33 30 27 24 21 (4) Marginal utility, C 12 10 053 If the prices of A, B, and C are $2, $3, and $1, respectively, and the consumer has $26 to spend on these three products, what combination of the three products should be purchased in order to maximize utility?