Asked by
Virginia Bliss
on Oct 14, 2024
Verified
Phil Rupp,has a sister Ethel who has the utility function U(x, y) min2x y, 3y.Where x is measured on the horizontal axis and y on the vertical axis, her indifference curves consist of a
A) vertical line segment and a horizontal line segment that meet in a kink along the line x 2y.
B) positively sloped line segment and a negatively sloped line segment that meet along the line x y.
C) horizontal line segment and a negatively sloped line segment that meet in a kink along the line x y.
D) vertical line segment and a horizontal line segment that meet in a kink along the line y 2x.
E) horizontal line segment and a positively sloped line segment that meet in a kink along the line x 2y.
Utility Function
A mathematical representation that relates the total utility an individual derives from consuming different bundles of goods and services.
Indifference Curves
A graphical representation showing combinations of goods that provide equal satisfaction and utility to a consumer.
Vertical Axis
In graphing, the y-axis, which typically represents the dependent variable or the quantity being measured.
- Learn to use utility functions in the assessment of consumer preferences.
- Analyze consumer choices involving non-linear utility functions and their graphical representations.
Verified Answer
DM
Learning Objectives
- Learn to use utility functions in the assessment of consumer preferences.
- Analyze consumer choices involving non-linear utility functions and their graphical representations.