Author Question: Which of the following statements is true about a consumer's optimal decision when indifference ... (Read 32 times)

clippers!

  • Hero Member
  • *****
  • Posts: 828
Which of the following statements is true about a consumer's optimal decision when indifference curves are concave?
 
  A) Both goods are consumed.
  B) No goods are consumed.
  C) Only one of the goods is consumed.
  D) It occurs at the point of tangency with the budget line.

Question 2

Refer to Figure 9.1. If the government establishes a price ceiling of 20, the resulting deadweight loss will be
 
  A) 0.
  B) 20.
  C) 30.
  D) 300.
  E) 600.



Amiracle

  • Sr. Member
  • ****
  • Posts: 334
Answer to Question 1

C

Answer to Question 2

D



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

More than 4.4billion prescriptions were dispensed within the United States in 2016.

Did you know?

The toxic levels for lithium carbonate are close to the therapeutic levels. Signs of toxicity include fine hand tremor, polyuria, mild thirst, nausea, general discomfort, diarrhea, vomiting, drowsiness, muscular weakness, lack of coordination, ataxia, giddiness, tinnitus, and blurred vision.

Did you know?

Approximately 15–25% of recognized pregnancies end in miscarriage. However, many miscarriages often occur before a woman even knows she is pregnant.

Did you know?

Signs of depression include feeling sad most of the time for 2 weeks or longer; loss of interest in things normally enjoyed; lack of energy; sleep and appetite disturbances; weight changes; feelings of hopelessness, helplessness, or worthlessness; an inability to make decisions; and thoughts of death and suicide.

Did you know?

Oxytocin is recommended only for pregnancies that have a medical reason for inducing labor (such as eclampsia) and is not recommended for elective procedures or for making the birthing process more convenient.

For a complete list of videos, visit our video library