Microeconomics Answers

Think about a consumer with a utility function given by U=x₁x₂, he is facing a budget constraint: p1x1+p2x2<= I.

(a)   Can you decide if the indifference curve is convex?

(b)  Please derive the Marshallian demand functions for x1 and x2.

(c)   How much of each good will the consumer purchase if I =8, p1=1 and p2=4? 

What would the supply curve for supermarkets (in a given city) look like for a

time period of (a) the next twelve hours and (b) the next five months? Explain with

relevant graph.

If in the same amount of time that it takes her to read 40 pages of economics and 30 pages of sociology, Martha could read 20 pages of economics and 110 pages of sociology, then which of these equations describes combinations of pages of economics, E, and sociology, S, that she could read in the time that it takes to read 40 pages of economics and 30 pages of sociology ?

A. E/2 = 50

B. 4E + S = 190

C. E + S = 70

D. E + S = 130

E. All of the above

As announced in the 2021-2022 National Budget, the Fijian Government is supporting formal and informal sector employees on Viti Levu who are affected by the pandemic through monthly payments of $120 for a period of six months (August 2021 – January 2022). The Fiji Sun dated 23^rd August, 2021 reports “Attorney-General and Minister for Economy yesterday tweeted that: “Days ahead of schedule, we have met the once-in-a-century COVID-19 crisis with one of the largest assistance payouts in history. $72m was paid in unemployment benefits to 200,000 Fijians. In the coming days, we’ll reach 60,000 more bringing the total payout to around $94m.”

As an economist you are trying to assess this COVID-19 benefit scheme. In the essay critically evaluate the above COVID-19 Unemployment Assistance from the Fijian Government.  Follow the rubric below – have an introduction, body and conclusion. 

As an economist how can we assess this COVID-19 benefit scheme done by the government to informal employees? 

What level of output yields minimum cost per unit of y