This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Alfred derives utility from consuming iced tea and lemonade. For the bundle he currently consumes, ... (Read 142 times)

Ebrown

  • Hero Member
  • *****
  • Posts: 567
on: Jul 1, 2018
Alfred derives utility from consuming iced tea and lemonade. For the bundle he currently consumes, the marginal utility he receives from iced tea is 16 utils, and the marginal utility he receives from lemonade is 8 utils.
 
  Instead of consuming this bundle, Alfred should: A) buy more iced tea and less lemonade.
  B) buy more lemonade and less iced tea.
  C) buy more iced tea and lemonade.
  D) buy less iced tea and lemonade.
  E) none of the above is necessarily correct.

Question 2

Assume that the current market price is below the market clearing level. We would expect:
 
  A) a surplus to accumulate.
  B) downward pressure on the current market price.
  C) upward pressure on the current market price.
  D) lower production during the next time period.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

cam1229

  • Sr. Member
  • ****
  • Posts: 329
Reply #1 on: Jul 1, 2018
Answer to Question 1

E

Answer to Question 2

C


Ebrown

  • Member
  • Posts: 567
Reply 2 on: Jul 1, 2018
Thanks for the timely response, appreciate it

amandalm

  • Member
  • Posts: 306
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

One way to reduce acid reflux is to lose two or three pounds. Most people lose weight in the belly area first when they increase exercise, meaning that heartburn can be reduced quickly by this method.

Did you know?

Although the Roman numeral for the number 4 has always been taught to have been "IV," according to historians, the ancient Romans probably used "IIII" most of the time. This is partially backed up by the fact that early grandfather clocks displayed IIII for the number 4 instead of IV. Early clockmakers apparently thought that the IIII balanced out the VIII (used for the number 8) on the clock face and that it just looked better.

Did you know?

Chronic marijuana use can damage the white blood cells and reduce the immune system's ability to respond to disease by as much as 40%. Without a strong immune system, the body is vulnerable to all kinds of degenerative and infectious diseases.

Did you know?

Of the estimated 2 million heroin users in the United States, 600,000–800,000 are considered hardcore addicts. Heroin addiction is considered to be one of the hardest addictions to recover from.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

The rotifer, Brachionus calyciflorus, is a large predator that consumes the smaller algae, Chlorella The rotifer, Brachionus calyciflorus, is a large predator that consumes the smaller algae, Chlorella
Consuming Lithosphere at Convergent Plate Boundaries Consuming Lithosphere at Convergent Plate Boundaries
Alfred Hershey and Martha Chase Alfred Hershey and Martha Chase
Alfred Stieglitz, The Steerage. Alfred Stieglitz, The Steerage.
A utility knife uses replaceable blades and can cut carpet and other materials. A utility knife uses replaceable blades and can cut carpet and other materials.
Four terrorist incidents. Clockwise from top left: the Alfred P. Murrah Federal Building after ... Four terrorist incidents. Clockwise from top left: the Alfred P. Murrah Federal Building after ...
Video: Condensation and Hydrolysis Animation

For a complete list of videos, visit our video library