Suppose that a budget constraint intersects an indifference curve at two separate points. Can either of these
Question:
Suppose that a budget constraint intersects an indifference curve at two separate points. Can either of these consumption bundles be optimal? Explain why or why not.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 45% (11 reviews)
The optimal consumption bundle occurs where the budget line is tange...View the full answer
Answered By
WAHIDUL HAQUE
hello,
I'm a professional academic solution provider working as a freelance academic solution provider since 7 years. I have completed numerous projects. Help lots of students to get good marks in their exams and quizzes. I can provide any type of academic help to your homework, classwork etc, if you are a student of Accounting, Finance, Economics, Statistics. I believe in satisfying client by my work quality, rather than making one-time profit. I charge reasonable so that we make good long term relationship. why will you choose me? i am an extremely passionate, boldly honest, ethically driven and pro-active contractor that holds each of my clients in high regards throughout all my business relations. in addition, I'll always make sure that I'm giving my 100% better in every work that will be entrusted to me to be able to produce an outcome that will meet my client's standards. so if you are a student that is now reading my profile and considering me for your academic help. please feel free to look through my working history, feedback and contact me if you see or read something that interests you. I appreciate your time and consideration.
regards
4.90+
233+ Reviews
368+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Using Figure 4, explain why the point of tangency of the budget line with an indifference curve is the consumers equilibrium position. Explain why any point where the budget line intersects an...
-
We begin again with Charlie of the apples and bananas. Recall that Charlies utility function is U(x A , x B ) = x A x B . Suppose that the price of apples is 1, the price of bananas is 2, and...
-
Economist Joel Waldfogel may be America's biggest Grinch. He bemoans what he calls the "deadweight loss of Christmas" created when people give gifts (such as ugly sweaters) the recipients would...
-
Sita lived in a village and could, not afford refrigerator in her house. She knew how to keep water cold and preserve all perishable items in her house. She kept ivet cloth surrounding the earthen...
-
Erin O'Neil Associates reported short-term notes payable and salaries payable as follows: During 2018, O'Neil paid off both current liabilities that were left over from 2017, borrowed cash on...
-
Assume that Volleyball Pro Equipment had $900,000 of sales during each of three consecutive years, and it purchased merchandise costing $500,000 during each of the years. It also maintained a...
-
In the income statement, Freight-In is (a) added to purchases. (c) added to sales. (b) subtracted from purchases. (d) subtracted from cost of goods sold.
-
Donald Transport assembles prestige manufactured homes. Its job-costing system has two direct-cost categories (direct materials and direct manufacturing labor) and one indirect-cost pool...
-
last omne i am highly appreciative Saved Problem 7-8 Dividend Discount Model (LO2) Rework Table 7.4 for horizon years 1. 2. 3. and 10, assuming that Investors expect the dividend and the stock price...
-
Conduct a Pareto analysis for the number of minutes that flights are late in the accompanying data. Interpret the results. E Click the icon to view the Atlanta Airline Data. Conduct a Pareto analysis...
-
Use the information about price and quantity in Table AP-1 to create a graph, with Price on the y-axis and Quantity on the x-axis. Label the resulting curve Demand. What is the slope of that curve?
-
Use the demand schedule in Table CP-1 to answer the following questions. Use the mid-point method in your calculations. a. What is the price elasticity of demand for a price change from $4 to $8? b....
-
Record the following transactions in the General Fund general ledger accounts. (Analyze the effects of the transactions on all other funds and nonfund accounts.) 1. Martinsville ordered supplies for...
-
During the audit of Park Company, a bottler and distributor of "Marshwater" soft drink, your discussion with the financial vice-president reveals that the company is paying rebates to certain of its...
-
How many salespeople are required?
-
Mr. Ambit was employed by Keen & Keen, CPAs, in early June 19X2. a. Prior to employment, Mr. Ambit owned considerable stock in several of Keen & Keen's audit clients. Upon employment, he sold all the...
-
During the course of an audit, Fred Curious, the senior, noticed that several employees were paid at a rate less than that required for the federal minimum wage law. He checked into this matter and...
-
Meek, CPA, discovers that an audit client has a pending lawsuit against it for a significant sum of money. If the lawsuit is lost, the client's assets will be reduced by a substantial amount. Meek...
-
The Cheesecake Factory Incorporated (NASDAQ: CAKE) owns and operates over 200 restaurants, including The Cheesecake Factory, the Grad Lux Cafe, and the RockSugar Pan Asian Kitchen brand restaurants....
-
Which of the companies has the lowest accounts receivable turnover in the year 20X2? a. Company A. b. Company B. c. Company C. d. CompanyD. 20X1 20X2 Credit Sales Average Receivables Balance $1.0...
-
Suppose the government is considering taxing cigarettes. Because it is often politically more popular to tax the producers of cigarettes than the consumers of cigarettes, the government first...
-
The market shown in Figure 6P-5 is in equilibrium. Suppose there is a $15 per unit tax levied on sellers. a. Draw the after-tax supply curve. b. Plot the after-tax price paid by consumers and the...
-
The market shown in Figure 6P-5 is in equilibrium. Suppose there is a $15 per unit tax levied on sellers. a. Draw the after-tax supply curve. b. Plot the after-tax price paid by consumers and the...
-
Optimus Company manufactures a variety of tools and industrial equipment. The company operates through three divisions. Each division is an investment center. Operating data for the Home Division for...
-
(Prepared from a situation suggested by Professor John W. Hardy.) Lone Star Meat Packers is a major processor of beef and other meat products. The company has a large amount of T-bone steak on hand,...
-
Financial information for American Eagle is presented in Appendix A, and financial information for Buckle is presented in Appendix B. Required: 1. Calculate the cash holdings ratio for both companies...
Study smarter with the SolutionInn App