Refer to the graph below. Suppose you had tastes as described by the indifference curves above. If your income was $100, Px = 20 and Py = 25, which combination of X and Y would maximize your utility?
A. 5X and 0Y
B. 0X and 4Y
C. 3X and 1Y
D. 5X and 4Y
A. 5X and 0Y
You might also like to view...
The table below shows the data (in millions) for Wells Fargo Bank in September 2007 and September 2008. Suppose that the required reserve ratio is 3 percent
2007 2008 Loans 79 100 Reserves 11 11 Deposits 247 266 The data show that A) the currency drain ratio increased. B) the Federal Reserve must have increased the required reserve ratio. C) Wells Fargo had excess reserves and could create money in 2007. D) Wells Fargo was only able to make more loans in 2008 because it gained more deposits.
Refer to the payoff matrix below. If Camp R Us announces that it will offer special financing, Happy Campers ________ believe Camp R Us as their incentives ________ align.
Camp with Us and Happy Campers compete in the market for campers. Each firm must decide each season if they are going to offer special financing or not. The above payoff matrix shows each firm's net economic profit at each pair of strategies.
A) should; do not B) should; do
C) should not; do D) should not; do not
Suppose two countries have per capita real GDP of $20,000 in 2012. Country A has a growth rate of 4 percent and Country B has a growth rate of 5 percent. By 2015, the per capita real GDPs for the two countries, respectively, are (rounded)
A) $21,630 and $22,050. B) $22,400 and $23,000. C) $22,500 and $23,150. D) $25,000 and $26,500.
Starting from long-run equilibrium, a large increase in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; potential B. recessionary; higher; potential C. recessionary; lower; lower D. expansionary; higher; higher