Please help me ASAP Assume Jane, who lives in a farm next to a refinery, has the following utilityfunction:u/(x,e)=In(x))where xy is Jane's food consumption from her farm in lb. and e is the number of daysin a year with low levels of Sulfur Dioxide (emitted by the refinery) in the air. Whenit rains, sulfur dioxide into sulfuric acid resulting in "acid rain". Acid rain damagesJane's crops. Hence the production function of food in her farm is given byx) = 100+ (0.01 x e²)In other words, in a year where sulfur dioxide levels are low year round, she can getas many as 1432 lbs. of food from her farm (e=365). However, in a year where sulfurdioxide levels are low for only 100 days (e=100), she can only get 200 lbs. of foodfrom her farm.(New) Jane learns that scrubbers, a filter-like technology that reduces sulfur dioxide from refineryemissions, can be purchased in the market for $100 a piece. Each scrubber increases the number ofdays with low sulfur dioxide by 50. Currently, the days with low sulfur dioxide are 100. Assume thatshe can sell her farm produce in the market at $1 per lb and can pay for the scrubber technologyafter the arrival of her crop production. If she could buy one of these scrubbers and convince therefinery to use them, what would her consumption be after paying for the scrubber?325250275225175 Given the information below, choose the best option that describes James' preferences for waterand trees.Peter, Sara and James live by the river and have preferences for water quality (w) andlive trees (t). Peter and Sara live upstream and have trees in their land. James livesdownstream and does not have trees in his land. James, however, benefits from Peterand Sara's trees because each tree that stands upstream improves the water quality ofthe river downstream. Besides the positive effect on the water he drinks, James alsolikes the idea of live trees and gets really sad every time he sees trees turned into timbercarried down the stream. Define water quality downstream as W. Define trees in Peterand Sara's property as tp and ts, respectively.O Uj 100w + tp + ts100w + tp + ts100w+tp + ts100w where w= 100+ tp + tsOU jO U jPlease use the following information for the remainder of the questions.U jO U j=====where w =where wwhere w100w+tp where w=100=100+ tp + ts100 + tp100 + tp + ts

Utility function of Jane is directly dependent on the consumption of food produced out of her farm.…

Assume Jane, who lives in a farm next to a refinery, has the following utility function: u/(x,e)=In(x)) where x, is Jane's food consumption from her farm in lb. and e is the number of days in a year with low levels of Sulfur Dioxide (emitted by the refinery) in the air. When it rains, sulfur dioxide into sulfuric acid resulting in "acid rain". Acid rain damages Jane's crops. Hence the production function of food in her farm is given by

Assume Jane, who lives in a farm next to a refinery, has the following utility function: u/(x,e)=In(x)) where x, is Jane's food consumption from her farm in lb. and e is the number of days in a year with low levels of Sulfur Dioxide (emitted by the refinery) in the air. When it rains, sulfur dioxide into sulfuric acid resulting in "acid rain". Acid rain damages Jane's crops. Hence the production function of food in her farm is given by

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter4: Utility Maximization And Choice

Section: Chapter Questions

Problem 4.2P

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