The above figure shows Jane's budget line and two of her indifference curves. How many lobster dinners will Jane purchase each month?
A) 4 lobster dinners
B) 5 lobster dinners
C) 8 lobster dinners
D) 10 lobster dinners
B
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A loan covenant is a guarantee provided by the directors of a company that a term loan will be repaid by the maturity date.
a. true b. false
In the above figure, the price received by the seller before the tax is ________ per compact disc, and the price received and kept by the seller after the tax is ________ per compact disc
A) $20; $20 B) $20; $10 C) $30; $20 D) $30; $10
When managers do not own very much of the net worth of the firm, then
A) there may be a principal-agent problem. B) the firm will usually have to raise most of its funds in financial markets. C) the firm will have to rely more on equity financing than debt financing. D) the firm will have to rely more on debt financing than equity financing.
The two primary explanations for the excess volatility of consumption are
A) consumers' limited life spans and credit market imperfections. B) credit market imperfections and changes in market prices. C) changes in market prices and distorting taxes. D) distorting taxes and consumers' limited life spans.