As a consumer you have RM34 per month to spend for snack i.e. either pizzas which costs RM6 each or chicken burger which cost RM4 each. Suppose further that your preference is given by the following Total Utility Table Quantity 1 2 3 4 5 6 7 Pizza 60 108 138 156 162 166 166 Chicken Burger 44 76 100 120 136 148 152 First, graph the budget constraint with Pizzas on the horizontal axis and Chicken burger on the vertical axis. What are the intercepts at horizontal axis and vertical axis. Using the table, please show the Marginal Utility of Pizzas and Chicken Burger for every quantity demand. Using the utility maximizing rule to identify the consumer equilibrium, that is, combination of pizzas and chicken burger that will maximize your Total Utility. Confirm that the consumer equilibrium generates the highest combined total utility of any affordable combination of goods.

As a consumer you have RM34 per month to spend for snack i.e. either pizzas which costs RM6 each or chicken burger which cost RM4 each. Suppose further that your preference is given by the following Total Utility Table Quantity 1 2 3 4 5 6 7 Pizza 60 108 138 156 162 166 166 Chicken Burger 44 76 100 120 136 148 152 First, graph the budget constraint with Pizzas on the horizontal axis and Chicken burger on the vertical axis. What are the intercepts at horizontal axis and vertical axis. Using the table, please show the Marginal Utility of Pizzas and Chicken Burger for every quantity demand. Using the utility maximizing rule to identify the consumer equilibrium, that is, combination of pizzas and chicken burger that will maximize your Total Utility. Confirm that the consumer equilibrium generates the highest combined total utility of any affordable combination of goods.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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