PROBLEM You are choosing between two goods, X and Y, and your MU from each is shown in the table below.  Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will you now purchase? Using the two prices and quantities of X, derive a demand curve for X. 5. If your income is $9 and the prices of X and Y are $2 and $1, respectively, what maximum total utility for products X and Y that will you realize? Use a number, no decimal value, no commas, no space, no unit of measurement. 6. Assume that, other things remaining unchanged, your income is $9 and the prices of Y is $1, and the price of product X falls to $1. How many units of product X will you purchase to maximize utility? Use a number, no decimal value, no commas, no space, no unit of measurement. please answer all questions. Thanks

Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter20: Consumer Choice And Elasticity
Section: Chapter Questions
Problem 3CQ: Recent research confirms that the demand for cigarettes is not only inelastic, but it also indicates...
icon
Related questions
Question
100%

PROBLEM

You are choosing between two goods, X and Y, and your MU from each is shown in the table below.  Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will you now purchase? Using the two prices and quantities of X, derive a demand curve for X.

5. If your income is $9 and the prices of X and Y are $2 and $1, respectively, what maximum total utility for products X and Y that will you realize? Use a number, no decimal value, no commas, no space, no unit of measurement.

6. Assume that, other things remaining unchanged, your income is $9 and the prices of Y is $1, and the price of product X falls to $1. How many units of product X will you purchase to maximize utility? Use a number, no decimal value, no commas, no space, no unit of measurement.

please answer all questions. Thanks

You are choosing between two goods, X and Y, and your MU from each is shown in the table below.
Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will
you now purchase? Using the two prices and quantities of X, derive a demand curve for X.
Units of X
MUX
Units of Y
MUY
1
10
1
8
7
4
4
4
5
4
2
3
Transcribed Image Text:You are choosing between two goods, X and Y, and your MU from each is shown in the table below. Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will you now purchase? Using the two prices and quantities of X, derive a demand curve for X. Units of X MUX Units of Y MUY 1 10 1 8 7 4 4 4 5 4 2 3
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Utility Maximization
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Economics: Private and Public Choice (MindTap Cou…
Economics: Private and Public Choice (MindTap Cou…
Economics
ISBN:
9781305506725
Author:
James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:
Cengage Learning
Microeconomics: Private and Public Choice (MindTa…
Microeconomics: Private and Public Choice (MindTa…
Economics
ISBN:
9781305506893
Author:
James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:
Cengage Learning
Principles of Economics 2e
Principles of Economics 2e
Economics
ISBN:
9781947172364
Author:
Steven A. Greenlaw; David Shapiro
Publisher:
OpenStax
Principles of Economics, 7th Edition (MindTap Cou…
Principles of Economics, 7th Edition (MindTap Cou…
Economics
ISBN:
9781285165875
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Macroeconomics
Macroeconomics
Economics
ISBN:
9781337617390
Author:
Roger A. Arnold
Publisher:
Cengage Learning