MICROECONOMICS ECON 102
Refer to the figure below. What is total consumer surplus at the market equilibrium?
$80 per day
Assume that Dusty has $30 in income, hte price of a loaf of bread is $1.50, and hte price of a jar of peanut butter is $3. Dusty can buy a maximimum of ______ loaves of bread and a max of _______ jars of peanut butter.
20:10
John is trying to decide how to divide his time between his job as a stocker in the local grocery store, which pays $7 per hour for as many hours as he chooses to work and cleaning windows for the business downtown. He makes $2 for every window he cleans. John is indifferent between the two tasks, and the number of windows he can clean depends on how many hours he spends cleaning in a day as shown in the table below: How many hours a day should John spend cleaning windows?
4
Casey earns $150 a week and consumes only fish and shrimp. The price of fish is $3 a pound and the price of shrimp is $5 a pound. Casey can buy a maximum of _____ pounds of fish or a maximum of _____ pounds of shrimp.
50:30
Refer to the figure below: Suppose a consumer protection group convinces the govt. to impose price controls in this market. If the govt requires cheese to be sole for less than equilibrium price, then relative to before the price controls, total consumer surplus in the market
could either increase of decrease
When the price of a good rises, marginal utility per dollar spent on that good _____ leading consumers to purchase _____ of the good.
falls; less
In some countries, medical-care in provided free of charge to citizens and is paid for by the govt. In those countries, medical care is
is rationed by some non-monetary method
Suppose the market for shoes consists of three consumers. The table below shows the quantity demanded at various prices for each: At $100 per pair, market demand:
is the same as Leigh's demand.
Suppose Chris is a potter who makes mugs. His total costs depend on the number of mugs he makes each day as shown in the table below. If Chris's fixed costs decrease, then in the short run his profit-maximizing level of output will
not change
