Microeconomics Answers

Using your knowledge of utility and consumer behavior and the data below, show exactly how you would spend your income, on which goods and why. Be sure to calculate the MU/P for good X and good y, and then proceed. (20 pts)
Q MU x MU y

1 90 150

2 84 120

3 80 90

4 60 60

If government increases deficit spending, would interest rates increase or decrease? How would increase / decrease interest rates effect currency in foreign exchange market and how value of currency is affected? How would increased/decreased interest rates effect investment?

If a perfectly competitive firm decreases production from 11 units to 10 units and the market price is $20 per unit, total revenue for 10 units is

If UWO students suffer a drop in income, what will happen to the market for UWO t-shirts?

As quantity increases, which of the following must be true if average total costs are rising?
Select one:
a. Marginal cost must be greater than average total cost.
b. Marginal cost must be less than average total cost.
c. Average fixed cost must be increasing.
d. Average fixed cost must be less than average variable cost.

technology $5,000, Postage and handling $1,000, Miscellaneous $3,000, Inventory of cookbooks $2,000, Equipment $4,000, Overhead $1,000, 1 graph plus calculations, you must give up your full-time job, which paid $50,000 a year, and you worked part-time half the year. The average retail price of the cookbooks will be $30, and their average cost will be $20. Assume that the equation for demand is is Q = 40,000 - 500 P, where Q= the number of cookbooks sold per month, P= the retail price of books. show what the demand curve would look like for price between $25 and $35? suppose that you expect to sell about 22,000 cookbooks per month online, and assume you overhead, technology and equipment costs are fixed, what are your total cost? what market structure have you entered, and why? what can you do to guarantee success in this market? what pricing strategy might you use?

Suppose that the marginal utility you derive from the last slice of cheese pizza purchased is 50 utils and its price is $1.00. Also, the marginal utility you derive from the last bottle of soda purchased is 300 utils and its price is $3.00.
a) You are presently maximizing your total utility from consuming pizza and soda
b) You can increase your total utility by purchasing more pizza and less soda
c) You can increase your total utility by purchasing more soda and less pizza
d) You can increase your total utility by purchasing zero units of both goods
Please which is right answer and why

x is a normal good let Y be compliment with X and Z by substituents for X. determine change in market equilibrium if there is a increase in price of Z and decrease in price of inputs used to make X

Suppose the (inverse) demand function for a single-price monopoly is P = 280 – 2Q. This means that the marginal revenue function for the monopolist is MR = 280 – 4Q. Assume the marginal cost function is given by MC = 3Q. Find the price that the monopolist will charge.

Why does the supply curve slope upward?