Justin stopped at the gas station on the way to campus and bought four candy bars, two 20-ounce bottles of juice, and 10 gallons of gas. His marginal-utility-to-price ratios are 3.2 for the candy bars, 4.8 for the juice, and 5.7 for the gas. Explain why this set of purchases did not maximize Ryan's utility and how could he have increased his utility.
What will be an ideal response?
He has not maximized utility because the marginal-utility-to-price ratios are not equal. He should have bought fewer candy bars and more gas. We can't be sure whether he should buy more, fewer, or the same number of bottles of juice to increase his utility, given the information in the question.
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A credible threat is:
A. possible to carry out. B. in the threatener's interest to carry out. C. legally enforceable. D. not in the threatener's interest to carry out.
The Supreme Court has defined the offense of monopolization to
A) be when only one firm exists in an industry. B) occur when asymmetric information exists. C) include the possession of monopoly power and the willful maintenance of that power. D) be unfair acts in the practice of commerce.
The marketplace allocates resources
a. fairly. b. efficiently. c. to those desiring them least. d. both efficiently and equitably.