Refer to the graph below which shows indifference curves for Goods X and Y for Consumer A to answer questions 20. and 21.: Units of 4 Good Y 3 2 1 4 5 6 Units of Good X -150 -135 -110 b. 6 units of Good Y to 3 units of Good X c. 6 units of Good Y to 6 units of Good X d. 3 units of Good Y to 6 units of Good X 80 50 + 8 9 10 20. If Consumer A has income of $9 and the price of Good X is $1 and the price is $3, the budget constraint for Consumer A would extend from: a. 3 units of Good Y to 9 units of Good X of Good 21. If Consumer A has income of $9 and the price of Good X is $1 and the price of Good Y is $3, the utility-maximizing combination of Goods X and Y is: a. 9 units of Good X and 0 units of Good Y b. 6 units of Good X and 1 unit of Good Y c. 3 units of Good X and 2 units of Good Y d. 0 units of Good X and 3 units of Good Y

Principles of Microeconomics
7th Edition
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter21: The Theory Of Consumer Choice
Section: Chapter Questions
Problem 5CQQ
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Refer to the graph below which shows indifference curves for Goods X and Y for
Consumer A to answer questions 20. and 21.:
Units of
Good Y
5
4
3
2
4
5 6
Units of Good X
8
c. 6 units of Good Y to 6 units of Good X
d. 3 units of Good Y to 6 units of Good X
-150
135
-110
80
50
9 10
20. If Consumer A has income of $9 and the price of Good X is $1 and the price
of Good Y is $3, the budget constraint for Consumer A would extend from:
a. 3 units of Good Y to 9 units of Good X
b. 6 units of Good Y to 3 units of Good X
21. If Consumer A has income of $9 and the price of Good X is $1 and the price
of Good Y is $3, the utility-maximizing combination of Goods X and Y is:
a. 9 units of Good X and 0 units of Good Y
b. 6 units of Good X and 1 unit of Good Y
c. 3 units of Good X and 2 units of Good Y
d. 0 units of Good X and 3 units of Good Y
Transcribed Image Text:Refer to the graph below which shows indifference curves for Goods X and Y for Consumer A to answer questions 20. and 21.: Units of Good Y 5 4 3 2 4 5 6 Units of Good X 8 c. 6 units of Good Y to 6 units of Good X d. 3 units of Good Y to 6 units of Good X -150 135 -110 80 50 9 10 20. If Consumer A has income of $9 and the price of Good X is $1 and the price of Good Y is $3, the budget constraint for Consumer A would extend from: a. 3 units of Good Y to 9 units of Good X b. 6 units of Good Y to 3 units of Good X 21. If Consumer A has income of $9 and the price of Good X is $1 and the price of Good Y is $3, the utility-maximizing combination of Goods X and Y is: a. 9 units of Good X and 0 units of Good Y b. 6 units of Good X and 1 unit of Good Y c. 3 units of Good X and 2 units of Good Y d. 0 units of Good X and 3 units of Good Y
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