Keith is indifferent between canned soup and fresh soup. In the figure above, Keith's indifference curves are represented by I1, I2, I3, and I4 curves. Which of the following choices Keith cannot afford?
A) 3 canned soups and 2 fresh soups
B) 2 canned soups and 1 fresh soup
C) only 4 canned soups
D) only 2 fresh soups
A
You might also like to view...
"The long-run Phillips curve is vertical at the expected rate of inflation." Is the previous statement correct or incorrect?
What will be an ideal response?
A parking lot in a busy downtown district is experimenting with its pricing strategy to figure out where it should price its spaces. Which of the following strategies should it implement?
a. Decrease parking rates if the lot fills up much earlier than 9am b. Increase parking rates if the lot doesn't fill up until much after 9am c. If the lot fills up right around 9am the price is right d. All of the above
The sign of the cross-price elasticity tells us whether two commodities are complements or substitutes, but the size of this elasticity measure tells us
a. how the supply side of the market reacts to changes in demand b. whether the government should regulate the two markets c. which technology producers use d. how closely the two goods are related e. whether or not excess profits can be made in either market
What best describes the role of government in a free enterprise system?
What will be an ideal response?