Exhibit 6-2 Total utility for hamburgers, fries, and Cokes
Total Utilityfrom Hamburgers
Total Utilityfrom Fries
Total Utilityfrom Cokes
1 hamburger (100 utils)
1 order of fries (30 utils)
1 Coke (40 utils)
2 hamburgers (180 utils)
2 orders of fries (50 utils)
2 Cokes (60 utils)
3 hamburgers (240 utils)
3 orders of fries (60 utils)
3 Cokes (70 utils)
In Exhibit 6-2, assume that the price of hamburgers is $2 each, fries cost 50 cents each, and Cokes cost $1 each. Suppose the consumer has $6 to spend on hamburgers, fries, and Cokes. In the consumer equilibrium, what is the marginal utility per dollar for each of the three goods?
A. 20 utils per dollar.
B. 40 utils per dollar.
C. 90 utils per dollar.
D. 270 utils per dollar.
Answer: B
Economics
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