A consumer uses her available income to buy rice and gasoline. Here indifference curves and budget constraint

Fantastic news! We've Found the answer you've been seeking!

Question:

A consumer uses her available income to buy rice and gasoline. Here indifference curves and budget constraint are shown on the diagram to the right.

What is the marginal rate of transformation (MRT) facing this consumer?

Related Book For answer-question

Microeconomics

ISBN: 978-0132857123

8th edition

Authors: Robert Pindyck, Daniel Rubinfeld

See More Books

Posted Date: Nov 25, 2018 11:28 PM

See More Questions

What is the marginal rate of transformation (MRT)? Explain why the MRT of one good for another is equal to the ratio of the marginal costs of producing the two goods.
What is the marginal rate of substitution?
Consider the following network representation of a transportation problem: The supplies, demands, and transportation costs per unit are shown on the network. The optimal (cost minimizing)...
Acculturation is an extremely important topic in this age of globalization and multiculturalism; however, it remains an especially difficult topic to study. Peoples acculturation experiences vary...
Fill in the details of the proof of Proposition 5.53. If W is a finite-dimensional subspace of an inner product space, then (W) = W. This result is a direct corollary of the orthogonal decomposition...
Use the formula for the standard error of p to explain why a. The standard error is greater when the value of the population proportion p is near 0.5 than when it is near 1. b. The standard error of...
The usual expansion device used in a window air conditioner is (a) capillary tube (b) automatic expansion valve (c) float valve (d) hand expansion valve
Seventy-two percent of the members of the United Food and Commercial Workers Local 655 voted to strike against Stop n Shop in the St. Louis area. In fear of similar union responses, two of Stop n...
On January 1, 2025, A Pile of Ship Ltd. issued 95,000 convertible preferred shares and received proceeds of $6,000,000. These shares pay cumulative dividends of 6%. Buyers of the preferred shares...
Prince Corporation acquires Squire Service Corporation for one million shares of Prince stock, valued at $35 per share. Squire is merged into Prince, although it continues to do business under the...
ADME prediction service The characterization of Absorption, Distribution, Metabolism, and Excretion (also known as ADME) and Toxicity are essential steps in drug development....
There will be many situations that will require manual handling while supporting clients in their care provision. Workers will be required to have a strong understanding of manual handling task...
Concord Corporation constructed a building at a cost of $30000000. Weighted-average accumulated expenditures were $11800000, actual interest was $1240000, and avoidable interest was $602000. If the...
How do advanced computational fluid dynamics (CFD) techniques facilitate the analysis and optimization of complex fluid flow phenomena in industrial-scale reactors, considering turbulent flow...
Feet for Athletes, Incorporated sells athletic shoes and socks. Shoes sell for $135 per unit and have a variable cost of $60 per unit. Socks sell for $25 a bag with a variable cost of $10 per bag....
Sunland Company purchased factory equipment for $648000. Useful hours for the machine are estimated to be 179000. The estimated salvage value is $50000, and the estimated useful life is 8 years. The...
Suppose a household has a total income of $60,000 and pays $15,000 in taxes. If the MPC is 0.8, then how much is the household's total consumption? Suppose a household has a total income of $60,000...
Find the numerical value of each expression. (a) sech 0 (b) cosh -1 1
In this project, you will design a computationally efficient digital IIR band-pass filter to meet the following specifications. specbox.m routine is provided to verify that specs are satisfied....
Suppose the interest rate is 10%. What is the value of a coupon bond that pays $80 per year for each of the next five years and then makes a principal repayment of $1000 in the sixth year? Repeat for...
Why can free trade between two countries make consumers of both countries better off?
Explain why the industry supply curve is not the long-run industry marginal cost curve.
The treatment of outflows on account of dividend and interest is highly debatable as to their activity classification. Give a serious thought to the issue and express your opinion about the best...
Reliance Industries Ltd. is the biggest private sector company in India. The following fact sheet about the company and its peer group, as extracted from Capitaline Plus database is reproduced in the...
Consider the same setting as Problem 18, but suppose instead 80% of the shareholders redeem their shares, and no warrants are exercised. Data from problem 18 a. What is the amount of cash per share...

A consumer uses her available income to buy rice and gasoline. Here indifference curves and budget constraint

Question:

Pan vie 15 20 25 30 Rice Koper mon Pan vie 15 20 25 30 Rice Koper mon

Expert Answer:

The two points on the budget lines are 040 and 300 The slope of the budget line is as calculat... View the full answer

Microeconomics

Students also viewed these economics questions