Max has allocated $100 toward meats for his barbecue. His budget ...

[ap345]

Max has allocated $100 toward meats for his barbecue. His budget line and an indifference map are shown in the above figure. Which of the following bundles are in Max's opportunity set?
◦ b, d, e
◦ a, b, d
◦ a, b, c
◦ None of the above.

[karmakat49]

b, d, e

[ap345]

Excellent

[karmakat49]

Great! Please up vote

[AEWBW]

Max has allocated $100 toward meats for his barbecue. His budget line and indifference map are shown in the above figure. If the price of burger increases, which of the following bundles are in Max's opportunity set?
◦ d, e
◦ a, b, c, d, e
◦ b, d, e
◦ None of the labeled points are in Max's opportunity set.

[yahahah24021]

None of the labeled points are in Max's opportunity set.

[wrbasek0]

Max has allocated $100 toward meats for his barbecue. His budget line and indifference map are shown in the above figure. If Max is currently at point e,
◦ he is not maximizing his utility.
◦ the absolute value of his MRS is less than the trade-off offered by the market.
◦ he is willing to give up more burger than he has to, given market prices.
◦ All of the above.

[katheyjon]

All of the above.

[wrbasek0]

Thanks

[katheyjon]

Welcome