Thandi consumes pancakes and apples. Thandi's utility increases with the consumption of pancakes, but her utility neither increases nor decreases with the consumption of apples. Assuming apples are on the x-axis and pancakes are on the y-axis, what do Thandi's indifference curves look like? O A. downward-sloping lines B. L-shaped lines O C. horizontal lines D. upward-sloping lines from the origin O E. vertical lines

Thandi consumes pancakes and apples. Thandi's utility increases with the consumption of pancakes, but her utility neither increases nor decreases with the consumption of apples. Assuming apples are on the x-axis and pancakes are on the y-axis, what do Thandi's indifference curves look like? O A. downward-sloping lines B. L-shaped lines O C. horizontal lines D. upward-sloping lines from the origin O E. vertical lines

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

I am unsure the direction the utility functions would go in , with this specific scenario
None
Q35
Suppose that price of good X rises by 25 % while price of Y rises by 50% and Income rises by 50%. Then which of the following is correct? O Budget line becomes flatter and consumer is able to afford new bundles that were not affordable before. Budget line becomes steeper and consumer is not able to afford some bundles that were affordable before. Budget line becomes flatter and consumer is not able to afford some bundles that were affordable before. Budget line becomes steeper and consumer is able to afford new bundles that were not affordable before.
QUESTION 15 Which of the following statements about an indifference curve is true? O a. The slope tells you the ratio of the prices of the two goods O b. It is unique to a specific consumer O c. A producer can use it to judge consumer demand O d. It is always a curve
Consider the following graph. Assume that income increases, and the budget constraint line shifts to the right. The utility-maximizing choice on the original budget constraint is A. Enable ZoomPan
Question 3Draw indifference curves for the following sets of preferences and indicate the direction inwhich the individuals’ satisfaction (or utility) is increasing. Be specific about slopes when itis necessary. Assume for both parts (a) & (b) that soft drinks are measured on x-axis andhamburgers on the y-axis. (a) Mary always gets twice as much satisfaction from an extra hamburger as she does froman extra soft drink. (b) Bob loves soft drinks but dislikes hamburgers.
Please help - indifference curves
X2 Phil has preferences over olives (x₁) and ice creams (x₂) with a utility function, u(x₁, x₂)= x₁0.5+ x₂0.5. Suppose his income is $16 and the price of olives is $1 and the price of ice creams is $1, too. Which of the following is TRUE? O The utility level when he spends all of his income on good 1 is 8. O The optimal bundle Phil will choose to consume is (6,10). O The utility level at a bundle (1,16) is 11. None of the above. The optimal bundle Phil will choose to consume is (8,8).
3
Refer to Figure 3 below. The consumer chooses A on budget line I1 and chooses B on budget line 12. Based on this information, which of the following rankings is able to describe the consumer's preferences on how he/she ranks the first is highest ranked and last is the lowest-ranked? Clothing I1 12 Food Figure 3 O a. The sequence is A-B-C-D O b. The sequence is A-B-D-C O c. NO correct answers because we do not have enough information to rank all four bundles. O d. The sequence is A-D-B-C
7