Price of Can of Beer = $0.50 Total Utility Price of Slice of Pizza = $1.00 Slices per Week Total Utility Cans per Week 1 15 1 32 63 2 29 3. 42 91 4 54 115.75 65 136 6. 75.75 154 7 86 171 8. 96 187 6. 105 201 10 113 10 213 If this consumer only has $10.00 to spend on beer and pizza a week, and is currently consuming 7 slices of pizza and 6 cans of beer per week, what should this consumer do to maximize his utility? Buy only beer. B Buy only pizza. Buy more beer and less pizza. Buy more pizza and less beer. 2345 67840
Price of Can of Beer = $0.50 Total Utility Price of Slice of Pizza = $1.00 Slices per Week Total Utility Cans per Week 1 15 1 32 63 2 29 3. 42 91 4 54 115.75 65 136 6. 75.75 154 7 86 171 8. 96 187 6. 105 201 10 113 10 213 If this consumer only has $10.00 to spend on beer and pizza a week, and is currently consuming 7 slices of pizza and 6 cans of beer per week, what should this consumer do to maximize his utility? Buy only beer. B Buy only pizza. Buy more beer and less pizza. Buy more pizza and less beer. 2345 67840
Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter20: Consumer Choice And Elasticity
Section: Chapter Questions
Problem 4CQ
Related questions
Question
Transcribed Image Text:Price of Can of Beer = $0.50
Total Utility
Price of Slice of Pizza = $1.00
Total Utility
Slices per Week
Cans per Week
1
32
15
63
29
3
42
91
4
54
115.75
65
136
6.
75.75
154
86
171
8.
96
8
187
9.
105
201
10
113
10
213
If this consumer only has $10.00 to spend on beer and pizza a week, and is currently consuming 7 slices of
pizza and 6 cans of beer per week, what should this consumer do to maximize his utility?
Buy only beer.
Buy only pizza.
Buy more beer and less pizza.
Buy more pizza and less beer.
234 567009
Transcribed Image Text:pizza and 6 cans of beer per week, what should this consumer do to maximize his utility?
Buy only beer.
Buy only pizza.
Buy more beer and less pizza.
Buy more pizza and less beer.
The consumer is currently maximizing his utility at the stated combination of goods.
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