How does the introduction of cognition into a consumer's choice between healthy and unhealthy food affect marginal utility per dollar and the quantity of healthy and unhealthy food consumed? Assume utility is maximized.
What will be an ideal response?
The marginal utility per dollar will decrease for both the healthy and unhealthy food. The quantity of healthy food consumed will increase and the quantity of unhealthy food consumed will decrease.
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In the diagram below, label the x-axis, the y-axis, and the origin
What will be an ideal response?
In one week, Mohammed can knit 5 sweaters or bake 240 cookies. The opportunity cost per sweater for Mohammed is
a. $240 b. 240 cookies c. 48 sweaters d. 1/48 of a cookie e. 48 cookies
Each of the following is a characteristic of perfect competition except
A. licenses, control of vital resources and government franchises are common. B. perfect knowledge. C. a lack of differentiation among products. D. many firms.
Refer to the diagram. Which tax system will generate the largest cyclical deficits?
A. T 4 .
B. T 3 .
C. T 2 .
D. T 1 .