Microeconomic

Econ 201 - Nelson Unit 4 Assignment Name I. Complete each of the following sentences: A. Your tastes determine the you derive from consuming a particular good. B is the change in total utility resulting from a one-unit change in the consumption of a good. C. If total utility is increasing, marginal utility must be D. The law of diminishing marginal utility states that as an individual consumes more of a good during a given time period, other things constant, total utility II. For a particular consumer, the marginal utility of cookies equals the marginal utility of candy. If the price of a cookie is more than the price of candy, is the consumer in equilibrium? Why or why not? If not, what should the consumer do to attain equilibrium? III. Suppose that marginal utility of Good X = 200, the price of X is $10 per unit, and the price of Y is $5 per unit. Assuming the consumer is in equilibrium and is consuming both X and Y, what must the marginal utility of Y be