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P14.     Daniel allocates his budget of $24 per week among three goods. Use the following table...

P14.     Daniel allocates his budget of $24 per week among three goods. Use the following table of marginal utilities for good A, good B, and good C to answer the questions below:

           

    1    If the price of A is $2, the price of B is $3. and the price of C is $1, how much of each will Daniel purchase in equilibrium?

     2   If the price of A rises to $4 while other prices and Daniel’s budget remain unchanged, how much of each will he purchase

           in equilibrium?

     3   Using the information from parts (a) and (b), draw the demand curve for good A. Be sure to indicate the price quantity    

            demanded for each point on the curve.

P14.     Daniel allocates his budget of $24 per week among three goods. Use the following table of marginal utilities for good A, good B, and good C to answer the questions below:

           

    1    If the price of A is $2, the price of B is $3. and the price of C is $1, how much of each will Daniel purchase in equilibrium?

     2   If the price of A rises to $4 while other prices and Daniel’s budget remain unchanged, how much of each will he purchase

           in equilibrium?

     3   Using the information from parts (a) and (b), draw the demand curve for good A. Be sure to indicate the price quantity    

            demanded for each point on the curve.

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