Consider the following utility functions: Eleanor Rigby !" #, % = #%/10 Father McKenzie !* #, % = 100#2%2; where # is one kilogram of apples and % one kilogram of bananas. 1) Sketch all the bundles that Eleanor finds indifferent to having 8kg of apples and 2kg of bananas. 2) Sketch all the bundles that Eleanor finds indifferent to having 6kg of apples and 4kg of bananas. 3) Sketch all the bundles that Father McKenzie finds indifferent to having 8kg of apples and 2kg of bananas.

Consider the following utility functions: Eleanor Rigby !" #, % = #%/10 Father McKenzie !* #, % = 100#2%2; where # is one kilogram of apples and % one kilogram of bananas. 1) Sketch all the bundles that Eleanor finds indifferent to having 8kg of apples and 2kg of bananas. 2) Sketch all the bundles that Eleanor finds indifferent to having 6kg of apples and 4kg of bananas. 3) Sketch all the bundles that Father McKenzie finds indifferent to having 8kg of apples and 2kg of bananas.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter3: Preferences And Utility

Section: Chapter Questions

Problem 3.7P

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