micro ch 8

Betsy's utility depending from her consumption of coffee is shown in the table above. Betsy's marginal utility from the 3rd cup of coffee per day is:

10

Betsy's utility depending from her consumption of coffee is shown in the table above. If the price of a cup of coffee is $2, Betsy's marginal utility per dollar from the 2nd cup of coffee per day is:

15

Which of the following is consistent with the assumptions of marginal utility theory

As Jose consumes more of one good, his marginal utility from consuming more of that good decreases

Bobby consumes only chocolate ice cream and vanilla ice cream. He is spending all of his income. His marginal utility of chocolate is 200 and his marginal utility of vanilla is 200, and the price of chocolate is $1.00 per scoop and the price of vanilla is $2.00 per scoop. To maximize his utility, Bobby should:

buy more chocolate ice cream and less vanilla ice cream

Mark's marginal utility from reading books is the ________ when he reads ________

change in his total utility; one additional book

If Pete enjoys his first pancake of the morning much more than his fifth pancake of the morning, he is exhibiting:

diminishing marginal utility

When Frankie spends all his money in such a way that the marginal utility per dollar is the same for all final purchases of products he consumes, Frankie has maximized:

his total utility

Tom spends all his income on comics and cola and maximizes his total utility. If the price of a comic is $4 and the price of a can of cola is $1, then the ratio of the ________ is 4

marginal utility from comics to the marginal utility from cola

The table above gives Jane's total utility from magazines and CDs. What is the marginal utility of Jane's sixth magazine

36 units

Sam spends all of his income on textbooks and hot dogs. The price of a textbook is $40 and the price of a hot dog is $0.50. If Sam is maximizing his utility and the marginal utility he derives from the last textbook he purchases is 400, then the marginal utility he derives from his last hot dog purchased must be:

5

The table above gives Jane's total utility from magazines and CDs. What is the marginal utility of the sixth CD

50 units

Usharani consumes 35 apples a week and 14 loaves of bread. Apples cost $1 each and bread costs $2 per loaf. Usharani is maximizing his utility and finds that the marginal utility from his 35th apple:

is half his marginal utility from his 14th loaf of bread

Jeannie's marginal utility from her 4th book in a month is 50. Her marginal utility from her 5th book:

is less than 50

Liane maximizes her total utility when she allocates all of her available income such that the marginal utility per dollar spent on each good ________

is the same

Robinson spends all his income on mangos and bananas. Mangos cost $3 per pound and bananas cost $1 per pound. The marginal utility is 30 for the last pound of mangos purchased and 8 for the last pound of bananas. To maximize his utility, Robinson should buy:

more mangos and fewer bananas

If marginal utility is positive but diminishing, as more units of a good are consumed, then the total utility from the good must be:

positive and rising at a decreasing rate

When Ramona is in consumer equilibrium,

she is maximizing her utility, given her income and the prices of goods and services

Suppose Jill's consumption bundle is made up of 2 goods, apples and bottles of juice. If the price of an apple increases, then Jill's budget line would:

shift towards the origin on the apples axis only

The total utility you get from eating slices of pizza on a given night is the:

sum of the marginal utilities of all slices eaten

Danny has $12 to spend on two goods: pies and soda. The price of a pie is $4, and the price of a can of soda is $2. To maximize his utility, Danny buys ________

the combination that gives him the same marginal utility per dollar spent on pies as on soda

The table above gives Jane's total utility from magazines and CDs. The price of a magazine is $4 and the price of a CD is $10. Which of the following correctly illustrates the principle of diminishing marginal utility? The fact that:

the marginal utility of the third CD is less than the marginal utility of second CD

Emma consumes only hot dogs and hamburgers. She is at her consumer equilibrium. Hot dogs and hamburgers have the same marginal utility. Thus:

the price of a hot dog and the price of a hamburger must be the same

Utility is best defined as:

the satisfaction from consuming a good

The total utility from three skirts is:

the sum of the marginal utility of the first skirt plus the marginal utility of the second skirt plus the marginal utility of the third skirt

As Sean's consumption of rice goes up, his:

total utility from consuming rice increases