This topic contains a solution. Click here to go to the answer

Author Question: Bobby spends 100 per month on pizza and CDs. His utility from these goods is shown in the table ... (Read 123 times)

809779

  • Hero Member
  • *****
  • Posts: 579
Bobby spends 100 per month on pizza and CDs. His utility from these goods is shown in the table above. The price of a pizza is 10 and the price of a CD is 20. Bobby currently buys 2 pizzas and 6 CDs.
 
  To maximize his utility in the next period, he should A) buy more pizza and fewer CDs.
  B) buy more CDs and fewer pizza.
  C) buy more of both goods.
  D) stay with the current combination of goods.

Question 2

The above figure shows the marginal social benefit, marginal private cost and marginal social cost of producing steel.
 
  If the market is competitive and unregulated, the equilibrium quantity of steel is ________ tons and the efficient quantity of steel is ________ tons. A) 2; 2
  B) 2; 4
  C) 4; 2
  D) None of the above answers is correct.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

meltdown117

  • Sr. Member
  • ****
  • Posts: 326
Answer to Question 1

A

Answer to Question 2

C




809779

  • Member
  • Posts: 579
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review


JaynaD87

  • Member
  • Posts: 368
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

Multiple sclerosis is a condition wherein the body's nervous system is weakened by an autoimmune reaction that attacks the myelin sheaths of neurons.

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Did you know?

Thyroid conditions cause a higher risk of fibromyalgia and chronic fatigue syndrome.

Did you know?

In the United States, an estimated 50 million unnecessary antibiotics are prescribed for viral respiratory infections.

For a complete list of videos, visit our video library