Haircuts are normal goods. I get my hair cut 4 times per year and I pay the

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

Question:

Haircuts are normal goods. I get my hair cut 4 times per year and I pay the market price of $100 each time. My income has not changed. What is the most appropriate assumption about the 5th (unconsumed) haircut?

A) It would make me feel bad and therefore negative MU

B) It would decrease my total utility for hair experiences on the year

C) It would shrink my consumer surplus

D) I feel indifferent about it - not care whether I got the extra haircut or not or not

E) The marginal benefit I receive would be below the market price

Related Book For answer-question

Intermediate Microeconomics

ISBN: 978-0393123968

9th edition

Authors: Hal R. Varian

See More Books

Posted Date: May 03, 2024 03:42 AM

See More Questions

The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
1 What are the main components of personal financial planning? Solve What is the purpose of a financial plan? Solve Identify some common actions taken to achieve financial goals. How does a job...
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
Marks 1. Find the limits, if they exist. If a limit does not exist, check whether the function approaches +00 x2 + 2x - 15 (5) (a) lim x-3 x2-4x +3 x2 - 4 (5) (b) lim x2 x4 - 16 Carol Ferland CF...
List five different data collection methods.
Prepare a comparative common-size income statement for Keesha Shoes Inc. using the 2014 and 2013 data of Exercise 18-2 and rounding percentages to one-tenth of a percent (three decimal places). Data...
Form a small group (four to six people) and carry out an interview role play for this position. Half of the team should represent the company and the other half act as applicants.
On October 15, 2010, Flanikin Construction Company contracted to build a shopping center at a contract price of $180 million. The schedule of expected and actual cash collections and contract costs...
At what temperature will water boil at Lake Tahoe? Lake Tahoe isapproximately 1900 m above the sea level. The molar mass of air is29.0 g/mol. Assume that air pressure at sea level is 1.00 atm andthe...
2. Translate the following two separate C Codes into MIPS code a) If (g
An equal-tangent crest vertical curve has a 50 mi/h design speed. The initial grade is +3%. The high point is at station 33+37.43 and the PVT is at station 37+18.26. What is the elevation difference...
Determine the critical load of a round wooden dowel that is 0.9m long and has a diameter of (a) 10mm (b) 15mm. Use E=12GPa
Find the quotient and remainder using long division. x-2x-6 x-3 The quotient is The remainder is
Stephen and Margaret are a couple who are both 27 years of age. They are currently renting an apartment but are seriously considering purchasing a house. Unfortunately, neither of them took BUSN 2500...
Using the information below, calculate the firm's WACC. Target capital structure is 30% debt and 70% equity Long-term government bonds yielding 3% Company pays 225 bp above comparable government...
What is the relationship between the present-value factor and the annuity present-value factor?
In your audit of Garza Company, you find that a physical inventory on December 31, 2012, showed merchandise with a cost of $441,000 was on hand at that date. You also discover the following items...
The unadjusted trial balance of Innovative Computers Pty Ltd on 30 June 2025 is presented below. The following additional information is available. 1. The inventories as of 30 June 2025 were as...
The Z-spread of Bond A is 1.05% and the Z-spread of Bond B is 1.53%. All else equal, which statement best describes the relationship between the two bonds? A. Bond B is safer and will sell at a lower...
In most countries, the bond market sector with the smallest amount of bonds outstanding is most likely the: A. government sector. B. financial corporate sector. C. non-financial corporate sector.

Haircuts are normal goods. I get my hair cut 4 times per year and I pay the

Question:

Expert Answer:

E The marginal benefit I receive would be below the ma... View the full answer

Intermediate Microeconomics

Students also viewed these economics questions