The following table indicates Sharona’s marginal utilities from the additional consumption of goods A and B. The first and third columns of the table show the quantities of goods A and B consumed. The second and the fourth columns show Sharona’s marginal utilities from each additional unit of goods A and B consumed. The price of A is $2 per unit, and the price of B is $4 per unit. If Sharona’s budget is $12, then what consumer equilibrium combinations would maximize her total utility? Table 6.6 QA MUA QB MUB 1 24 1 48 2 22 2 44 3 18 3 36 4 12 4 24
The following table indicates Sharona’s marginal utilities from the additional consumption of goods A and B. The first and third columns of the table show the quantities of goods A and B consumed. The second and the fourth columns show Sharona’s marginal utilities from each additional unit of goods A and B consumed. The price of A is $2 per unit, and the price of B is $4 per unit. If Sharona’s budget is $12, then what consumer equilibrium combinations would maximize her total utility? Table 6.6 QA MUA QB MUB 1 24 1 48 2 22 2 44 3 18 3 36 4 12 4 24
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
The following table indicates Sharona’s
A and B. The first and third columns of the table show the quantities of goods A and B consumed.
The second and the fourth columns show Sharona’s marginal utilities from each additional unit of
goods A and B consumed. The price of A is $2 per unit, and the price of B is $4 per unit. If
Sharona’s budget is $12, then what consumer equilibrium combinations would maximize her total
utility?
Table 6.6
QA MUA QB MUB
1 24 1 48
2 22 2 44
3 18 3 36
4 12 4 24
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