Question

Sketch the following budget constraints: PX PY Income A RO 50 100 RO 5000 B 100...

Sketch the following budget constraints:
PX
PY
Income
A
RO 50
100
RO 5000
B
100
150
5000
C
50
200
2000
D
20
8
800

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #2

answered by: anonymous
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Consider the budget line 7x + 2y = 17. (A) Read off the prices px, py...
Consider the budget line 7x + 2y = 17. (A) Read off the prices px, py and the consumer’s wealth m. (B) If the consumer spends all his money on good 1, how many units can he afford? Likewise, if he spends all his money on good 2, how many units could he afford? (C) Graph the budget set. What is the slope of the budget line? (D) What is the definition of a numeraire good?   (E) Express the budget...
Given the following supply and demand functions: Qdx = 1,800 - 4 Px + 0.3 Py...
Given the following supply and demand functions: Qdx = 1,800 - 4 Px + 0.3 Py - 0.3 Pz + 0.006 I Qsx = 450 + 16 Px - 7 W - 0.2 R Income (I) = 4,200 Price of Y (Py) = 190 Price of Z (Pz) = 80 Wages (W) = 20 Rent (R) = 180 1. What is the equilibrium price?   2. What is the equilibrium quantity?   In reduced form the demand is Qdx = Do -...
(x,y)=ln (x^2+16)+y. Px=$4 Py= 8 m=$64 a.find the optimal bundle b. find good y income elasticity...
(x,y)=ln (x^2+16)+y. Px=$4 Py= 8 m=$64 a.find the optimal bundle b. find good y income elasticity when income rises to $96
(x,y)=ln (x^2+16)+y. Px=$4 Py= 8 m=$64 a.find the optimal bundle b. find good y income elasticity...
(x,y)=ln (x^2+16)+y. Px=$4 Py= 8 m=$64 a.find the optimal bundle b. find good y income elasticity when income rises to $96
On ONE diagram and using budget constraints and indifference curves, illustrate the following:       (a) Lavenda spends...
On ONE diagram and using budget constraints and indifference curves, illustrate the following:       (a) Lavenda spends $400 on widgets every semester. Widgets sell for $20 each. (b) A tax on widgets increases its price by 50%. Lavenda complains about the price increase but keeps on buying the same quantity as before. (c) To stop her endless complaints her friend Balkaran offers her $200. Is Lavenda better or worse off after the price increase and Balkaran’s offer?       (d) Does her consumption...
EPIDEMIOLOGY QUESTION Industry A Age Group Person-Years of Experience Deaths Rate per 1,000 py 20-29 40,000...
EPIDEMIOLOGY QUESTION Industry A Age Group Person-Years of Experience Deaths Rate per 1,000 py 20-29 40,000 80 30-39 30,000 90 40-49 20,000 100 50-59 10,000 200 20-59 100,000 470 Industry B Age Group Person-Years of Experience Deaths Rate per 1,000 py 20-29 10,000 20 30-39 20,000 60 40-49 30,000 150 50-59 40,000 800 20-59 100,000 1,030 Industry C Age Group Person-Years of Experience Deaths Rate per 1,000 py 20-29 25,000 30 30-39 25,000 50 40-49 25,000 75 50-59 25,000 315...
Suppose the utility function of an individual is U=X1/4 Y3/4 and income is I=4000. If price...
Suppose the utility function of an individual is U=X1/4 Y3/4 and income is I=4000. If price of X is Px=4 and price of Y is Py=1. The optimal consumption bundle for this individual is: a) X=50, Y=1000 b) X=150, Y=2000 c) X=250, Y=3000 d) X=350, Y=4000 e) None of above
Assume that Sam has following utility function: U(x,y) = 2√x+y MRS=(x)^-1/2, px = 1/5, py =...
Assume that Sam has following utility function: U(x,y) = 2√x+y MRS=(x)^-1/2, px = 1/5, py = 1 and her income I = 10. price increase for the good x from px = 1/5 to p0x = 1/2. (a) Consider a price increase for the good x from px = 1/5 to p0x = 1/2. Find new optimal bundle under new price using a graph that shows the change in budget set and the change in optimal bundle when the price...
Suppose that Ali has consumed two goods X and Y. Details of MUx and MUy are...
Suppose that Ali has consumed two goods X and Y. Details of MUx and MUy are given in the following table. Ali’s income is Rs.1000 and the price of Px is Rs.200 and the price of Py is Rs.100. Units 1 2 3 4 5 6 7 8 9 10 MUx 3000 2900 2600 2300 1900 1600 1200 800 600 200 MUy 2400 2200 2000 1600 1250 1100 800 400 0 -50 i) Explain how Ali should spend his income...
Intermediate Microeconomics Theory Q1 Budget Constraints Assume below that there are two goods only, x and...
Intermediate Microeconomics Theory Q1 Budget Constraints Assume below that there are two goods only, x and y, and that the consumer has an income of I and faces a competitive product market with prices p x and p y . (The standard “grocery store” model) except as modified in each case.) Graphically illustrate the following budget constraints, briefly explaining what you are doing. (A) (5 points) a) The government subsidizes the purchase of good y (NOT x) at a 50...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT