Question: Luis has preferences that can be described by the utility function, ( , ) = + 3 . Good x exhibits _ _ _ _

Luis has preferences that can be described by the utility function, (,)=+3. Good x
exhibits _______ marginal utility, and his indifference curves slope downward at ________ rate.
a. a decreasing; a constant
b. a decreasing; an increasing
c. a decreasing; a decreasing
d. a constant; a constant
e. a constant; an increasing
f. a constant; a decreasing
g. an increasing; a constant
h. an increasing; an increasing
i. an increasing; a decreasing

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Q:

(a) Thirty observations on the oxide thickness of individual silicon wafers are shown in table 6E.23. Use these data to set up a control chart on oxide thickness and a moving range chart. Does the...

Q:

Luis has preferences that can be described by the utility function, U ( x , y ) = xy + 3 y . Good x exhibits _ _ _ _ _ _ _ marginal utility, and his indifference curves slope downward at _ _ _ _ _ _...

Q:

Luis has preferences that can be described by the utility function, ( , ) = + 3 . Good x exhibits _ _ _ _ _ _ _ marginal utility, and his indifference curves slope downward at _ _ _ _ _ _ _ _ rate

Q:

Luis has preferences that can be described by the utility function, ( , ) = + 3 . Good x exhibits _ _ _ _ _ _ _ marginal utility, and his indifference curves slope downward at _ _ _ _ _ _ _ _ rate. a...

Q:

Luis has preferences that can be described by the utility function, ( , ) = + 3 . Good x exhibits _ _ _ _ _ _ _ marginal utility, and his indifference curves slope downward at _ _ _ _ _ _ _ _ rate

Q:

Luis has preferences that can be described by the utility function, ( , ) = + 3 . Good x exhibits _ _ _ _ _ _ _ marginal utility, and his indifference curves slope downward at _ _ _ _ _ _ _ _ rate

Q:

Suppose a closed economy is populated by two consumers A and B and one firm. The consumers have identical preferences which can be described by a utility function that depends on consumption of good...

Q:

Please check over my answers for me and explain your thought process, I want to make sure I'm on the right track for my final! Question 23 Rachel has preferences that can be described by the utility...

Q:

This is a question of Preferences and Utility. Tom has preferences that can be described by the utility function U = U(x, y) = ax + By, a > 0, B > 0, x > 0, y > 0, (x + y) = 0 Tom Junior's...

Q:

Suppose a closed economy is populated by two consumers A and B and one firm. The consumers have identical preferences which can be described by a utility function that depends on consumption of good...

Q:

Suppose a closed economy is populated by two consumers A and B and one firm. The consumers have identical preferences which can be described by a utility function that depends on consumption of good...

Q:

SP 21 A vertical long straight wire lies in the same plane as a rectangular loop of wire which has a + two of its sides parallel to the wire. The length of the segments of wire comprising the loop...

Q:

Design a 12 ft long, single-angle tension member to support a live load of 45 kips and a dead load of 15 kips (L/D= 3). The member is to be connected through one leg. Estimate three bolts in a single...

Q:

The tone and nature of the Tax File Memo should recognize that its readers will generally be restricted to fellow tax practitioners who are well versed in federal tax law and therefore, technical...

Q:

Determine the major differences between U.S. GAAP and IFRS disclosure reporting requirements related to each separately reportable operating segment. Next, give your opinion as to whether either U.S....