Michelle spends all of her income on mangos and rice. Mangos cost $2 per pound and rice costs $1.50 per pound
If Michelle is spending all of her income and the marginal utility per dollar spent is 20 for the last pound of mangos purchased and 10 for the last pound of rice purchased, then A) Michelle is maximizing utility from her present consumption bundle.
B) Michelle should buy more rice and fewer mangos in order to maximize utility.
C) Michelle should buy more mangos and less rice to maximize utility.
D) None of the above answers is correct.
C
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The above table shows some cost data for Tracey's Tents. What is the average fixed cost when 4 tents are produced?
A) $50.00 B) $12.50 C) $25.00 D) $37.50
Refer to Table 18-8. The tax system is
A) regressive throughout all levels of income. B) progressive throughout all levels of income. C) progressive between $10,000 and $12,000 of income and regressive between $12,000 and $22,000. D) proportional throughout all levels of income.
It has been suggested that if NHL hockey teams would lower ticket prices, they could increase revenue from ticket sales. Which of the following assumptions forms the basis for this suggestion?
a. Both d and e are correct. b. All of the following are correct. c. Demand for NHL hockey is income inelastic. d. Demand for NHL hockey is price elastic. e. There are many substitutes for NHL hockey.
Minimum wage laws help explain the natural rate of unemployment if they create a surplus in any labor market
a. True b. False Indicate whether the statement is true or false