Jonathan''s preferences are characterized

Assignment Help Business Management
Reference no: EM13150590 , Length: 263 words

Microeconomics questions.

Q1. Jonathan's preferences are characterized by diminishing marginal rate of substitution. At his current consumption level Jonathan's marginal utility from beer is 5 and his marginal utility from Coke is 4. If Coke is placed on the horizontal axis, is Jonathan's current choice an "interior" optimum if the price of a can of beer is $2 and a can of Coke costs $1? Explain? If not what should Jonathan to obtain an interior solution

Q5. Bin is considering two cell phone plans. The first plan gives Bin up to 300 minutes of use, CP, for a set fee of $60 with each additional minute priced at 20 cents per minute. The second plan has no set fee, but charges 50 cents per minute. You have $100 per month to spend on cell phone services and a "composite" good ,C, priced at $1 per unit. 

a. Draw Bin's budget constraints under each plan, label all relevant points

Q6. Shen purchases two goods, x and y. With income of $600, Px is $4 per unit and Py is $5 per unit. 
a. Draw the Shen's budget constraint and label all relevant points [2 marks] 
b. Suppose the government imposes a tax on good x of $2 per unit, that is, the price of x would rise to $6. However, the tax is imposed only on the first 40 units of x purchased. Draw and appropriately label Shen's new budget line

Reference no: EM13150590

Questions Cloud

What is meant by the term index of cell number : Cortical cells in control wheat have a higher index of cell number than cortical cells in gamma-irradiated wheat; explain this finding in terms of cellular processes that may be taking place in the coleoptile.
Find sample size suggested by newspaper article statement : Percentage points in either direction from what would have been obtained by interviewing all voters in the United States." Find the sample size suggested by this statement.
Tax consequences of a property settlement : What issues should Marcia and Dave consider when formulating their divorce agreement? Solution: Marcia and Dave should consider the taxability of the transfer of the home to Marcia and the boat to Dave. That is, what are the tax consequences of a ..
Evaluate the cost recovery : Hazel purchased a new business asset (five-year property) on November 30, 2009, at a cost of $100,000. This was the only asset acquired by Hazel during 2009. On January 7, 2010, Hazel placed the asset in service. She did not elect to expense any o..
Jonathan''s preferences are characterized : Jonathan's preferences are characterized by diminishing marginal rate of substitution. At his current consumption level Jonathan's marginal utility from beer is 5 and his marginal utility from Coke is 4. If Coke is placed on the horizontal axis, is J..
Rate of a reaction the longer it takes to reach completion : Select all of the correct statements about reaction rates from the choices below. The lower the rate of a reaction the longer it takes to reach completion.
Probability selected cell phone bill is between given value : Suppose local monthly cell phone bills are normally distributed with a standard deviation $12. What is the probability that a randomly selected cell phone bill is between $30 and $55?
Do you agree with the us automakers assertion : Do you agree with the US automakers' assertion that having to pay healthcare and post-retirement workers to the labor force negatively impacted US comparative advantage in the auto industry? Why or why not?
Prepare a balance sheet for the general fund of city jordan : The unadjusted trial balance for the general fund of the City of Jordan

Reviews

Write a Review

Business Management Questions & Answers

  System of inquiry-power point presentation

Develop a system of inquiry to be employed in evaluating decision-making, problem solving, and behavior in a business setting.

  Traditional industries to information intensive industries

Discuss how do you describe the shift of the economic mass from traditional industries to information intensive industries?

  Description of organizational paradigms

Of all the organizational paradigms and combinations of organizational paradigms you are familiar with, which one makes the most sense? Why?

  Outline the key provisions of this act as well as share

We are all immobile living with the consequences of this Act. Outline the key provisions of this Act as well as share your own view. Was the Balanced Budget Act of 1997 noble for U.S. healthcare or not? Sustenance your position on this legislation..

  Question about governance failure

Many people say that the corporate governance failures are result of human greed and that they will happen anytime there is too much money on the table.

  In reflecting on the limited international laws

In reflecting on the limited international laws as well as regulations briefly discuss some guidelines (principles as well as concepts) that you would have in your protocol (ethical/social responsibility policies).

  An implementation plan for the new production process design

An implementation plan for the new production process design as well as supply chain for the Riordan electric fans including a Gantt chart of the implementation plan.

  Global organizational dilemmas

Show all three theories listed below understanding their usefulness in solving global organizational dilemmas: I need in 2 pages and Systems theory

  Values of carlos ghosn concerning leadership

Organizational Change - Explain what are the beliefs and values of Carlos Ghosn concerning leadership and change?

  Structure and importance of a project phase review meeting

Explain the structure and importance of a project phase review meeting. Select three areas that need to be reviewed by the project manager and explain why.

  Explain how do cognitive biases affect learning

Explain how do cognitive biases affect organizational learning and the quality of decision making and what can be accomplished to reduce the negative impact?

  Service request create a benefits election system

The different project for this course is in the form of a Service Request from Huffman Trucking. It is essential for the student to access Service Request Create a Benefits Election System.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd