You have 6 hours to study for 2 exams tomorrow. The relationship between the time studying and test scores is shown below.EconomicsPsychologyScoreHoursScoreHours58586616427326937937384768857891679a. Use the rule for determining optimal purchasesdecide how many hours you should study each subject. Treat each point on an exam like 1 unit of utility and assume youequally interested in doing well in economics and psychology.You should study economics for hours and psychology for hours.

Answer: Let us first find the marginal scores. The equilibrium will be at the point where the marginal scores from both the subjects will be equal. Hours (Economics) Score Marginal score Hours (Psychology) Score Marginal score 0 58 - 0 58 - 1 66 8 1 64 6 2 73 7 2 69 5 3 79 6 3 73 4 4 84 5 4 76 3 5 88 4 5 78 2 6 91 3 6 79 1 Given the above table, the marginal utility is the same (i.e.) for both the subjects when 4 hours is devoted to economics and 2 hours is devoted to psychology. Also for this combination, the total hours are utilized (4+2=6).You should study economics for 4 hours and psychology for 2 hours.

Business

Economics

You have 6 hours to study for 2 exams tomorrow. The relationship between the time studying and test scores is shown below. Economics Psychology Score Hours Score Hours 58 58 66 64 73 69 3 79 84 3 73 4. 4 76 88 78 79 6 91 6 a. Use the rule for determining optimal purchases to decide how many hours you should study each subject. Treat each point on an exam like 1 unit of utility and assume you are equally interested in doing well in economics and psychology. You should study economics for hours and psychology for hours.

You have 6 hours to study for 2 exams tomorrow. The relationship between the time studying and test scores is shown below. Economics Psychology Score Hours Score Hours 58 58 66 64 73 69 3 79 84 3 73 4. 4 76 88 78 79 6 91 6 a. Use the rule for determining optimal purchases to decide how many hours you should study each subject. Treat each point on an exam like 1 unit of utility and assume you are equally interested in doing well in economics and psychology. You should study economics for hours and psychology for hours.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

The table below shows the total utility from consuming different amounts of Grapefruits. Use the information below to calculate the Marginal Utility for each quantity. Quantity Total Utility 0 0 2 8 10 48 % 116 132 138 Marginal Utility 9-
When a consumer is below the budget line, what does it mean?
Price for X is $1 and Y is $2. Budget is $9. Good X Good Y Quantity Marginal Utility Quantity Marginal Utility 1 8 1 10 2 7 2 8 3 6 3 6 4 5 4 4 5 4 5 3 6 3 6 2 7 2 7 1 When the consumer purchases the utility-maximizing combination of goods X and Y, total utility will be what?
Refer to the graph below: Quantity of Y 160 B 200 X Quantity of X Why doesn't the consumer choose the combination at point A?
If you buy less clothing because the price of clothing at your favorite store has gone up, what are you experiencing?
1. Using the consumer choice theory, explain how an individual decides what combinations of different products to buy.
Elapsed time (in minutes) 30 60 90 120 150 Total utility of playing video games 20 45 63 78 83 40 62 72 76 76 Total utility of swimming ▸ Jenny pays $5 per hour to use the local swimming pool. What is her marginal utility per dollar for the first half hour of swimming?
Question 32 The last unit purchased of good "X" gave you marginal utility = 3 and cost $10/unit. The last unit purchased of good "Y" gave you marginal utility = 1 and cost $4/unit. To maximize your utility you should: do nothing since you are already maximizing. O buy more of good "X" and less of good "Y." O buy less of good "X" and more of good "Y."
1. How would a fresh produce vendor at the farmers' market create the four types of utility (form utility,. place utility, time utility, and possession utility)?
qty per week Marginal Utility of songs Marginal Utility of Cookies 1 15 25 13 20 3 12 16 4 11 13 10 11 6. 9 10 7 8. 7 8. 6. 7 10 Above is the utility of Sara for song and cookie consumption. If the price of a song is $2 and the price of a cookie is $1, how many cookies and songs will sara consumer? Why?
Total utility (utils) 0 80 120 148 160 155 Quantity consumed per day 0 1 2 3 4 5 As shown in Exhibit above, the marginal utility for the second unit consumed is
Price for good A is $6 and good b is $8. Budget is $36. Good A Good B Quantity Total Utility Quantity Total Utility 1 18 1 32 2 30 2 56 3 38 3 72 4 42 4 80 5 44 5 84 6 3 6 2 7 2 7 1 How many units of the two products will the consumer buy?