Exam 13: Consumers Surplus-Part B

Bernice has the utility function u(x, y)= min{x, y}, where x is the number of pairs of earrings she buys per week and y is the number of dollars per week she has left to spend on other things.(We allow the possibility that she buys fractional numbers of pairs of earrings per week.)If she originally had an income of $18 per week and was paying a price of $8 per pair of earrings, then if the price of earrings rose to $14, the compensating variation of that price change (measured in dollars per week)would be closest to

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Question 1

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Kitty's utility function for BMWs and money is given by 16,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $23,000.Her reservation price for one BMW is

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Question 2

Correct Answer:

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If Bernice (whose utility function is min{x, y}, where x is her consumption of earrings and y is money left for other stuff)had an income of $16 and was paying a price of $8 for earrings when the price of earrings went up to $10, then the equivalent variation of the price change was

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Question 3

Correct Answer:

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Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $85, how much is Sir Plus's net consumer's surplus?

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Question 4

Betsy's utility function for BMWs and money is given by 24,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $32,000.Her reservation price for one BMW is

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Question 5

Betsy's utility function for BMWs and money is given by 8,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $22,000.Her reservation price for one BMW is

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Question 6

If Bernice (whose utility function is min{x, y}, where x is her consumption of earrings and y is money left for other stuff)had an income of $19 and was paying a price of $5 for earrings when the price of earrings went up to $11, then the equivalent variation of the price change was

(Multiple Choice)

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Question 7

Bernice has the utility function u(x, y)= min{x, y}, where x is the number of pairs of earrings she buys per week and y is the number of dollars per week she has left to spend on other things.(We allow the possibility that she buys fractional numbers of pairs of earrings per week.)If she originally had an income of $20 per week and was paying a price of $2 per pair of earrings, then if the price of earrings rose to $5, the compensating variation of that price change (measured in dollars per week)would be closest to

(Multiple Choice)

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Question 8

Lolita's utility function is U(x, y)=x - x²/2 + y, where x is her consumption of cow feed and y is her consumption of hay.If the price of cow feed is $.30, the price of hay is $1, and her income is $2 and if Lolita chooses the combination of hay and cow feed that she likes best from among those combinations she can afford, her utility will be

(Multiple Choice)

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Question 9

Desiree's utility function for BMWs and money is given by 9,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $22,000.Her reservation price for one BMW is

(Multiple Choice)

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Question 10

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $85, how much is Sir Plus's net consumer's surplus?

(Multiple Choice)

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Question 11

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $95, how much is Sir Plus's net consumer's surplus?

(Multiple Choice)

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Question 12

Cindy's utility function for BMWs and money is given by 19,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $24,000.Her reservation price for one BMW is

(Multiple Choice)

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Question 13

Bernice has the utility function u(x, y)= min {x, y}, where x is the number of pairs of earrings she buys per week and y is the number of dollars per week she has left to spend on other things.(We allow the possibility that she buys fractional numbers of pairs of earrings per week.)If she originally had an income of $17 per week and was paying a price of $3 per pair of earrings, then if the price of earrings rose to $7, the compensating variation of that price change (measured in dollars per week)would be closest to

(Multiple Choice)

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Question 14

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $85, how much is Sir Plus's net consumer's surplus?

(Multiple Choice)

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Question 15

Bernice has the utility function u(x, y)= min{x, y}, where x is the number of pairs of earrings she buys per week and y is the number of dollars per week she has left to spend on other things.(We allow the possibility that she buys fractional numbers of pairs of earrings per week.)If she originally had an income of $19 per week and was paying a price of $8 per pair of earrings, then if the price of earrings rose to $10, the compensating variation of that price change (measured in dollars per week)would be closest to

(Multiple Choice)

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Question 16

Ms.Quasimodo has the utility function U(x, m)= 100x - x²/2 + m, where x is her consumption of earplugs and m is money left over to spend on other stuff.If she has $10,000 to spend on earplugs and other stuff and if the price of earplugs rises from $50 to $70, then her net consumer's surplus

(Multiple Choice)

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Question 17

Bernice has the utility function u(x, y)= min{x, y}, where x is the number of pairs of earrings she buys per week and y is the number of dollars per week she has left to spend on other things.(We allow the possibility that she buys fractional numbers of pairs of earrings per week.)If she originally had an income of $11 per week and was paying a price of $4 per pair of earrings, then if the price of earrings rose to $8, the compensating variation of that price change (measured in dollars per week)would be closest to

(Multiple Choice)

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Question 18

Lolita's utility function is U(x, y)= x - x²/2 + y, where x is her consumption of cow feed and y is her consumption of hay.If the price of cow feed is $.10, the price of hay is $1, and her income is $2 and if Lolita chooses the combination of hay and cow feed that she likes best from among those combinations she can afford, her utility will be

(Multiple Choice)

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Question 19

Ms.Quasimodo has the utility function U(x, m)= 100x - x²/2 + m, where x is her consumption of earplugs and m is money left over to spend on other stuff.If she has $10,000 to spend on earplugs and other stuff and if the price of earplugs rises from $50 to $65, then her net consumer's surplus

(Multiple Choice)

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Question 20

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Exam 13: Consumers Surplus-Part B

Kitty's utility function for BMWs and money is given by 16,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $23,000.Her reservation price for one BMW is

If Bernice (whose utility function is min{x, y}, where x is her consumption of earrings and y is money left for other stuff)had an income of $16 and was paying a price of $8 for earrings when the price of earrings went up to $10, then the equivalent variation of the price change was

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $85, how much is Sir Plus's net consumer's surplus?

Betsy's utility function for BMWs and money is given by 24,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $32,000.Her reservation price for one BMW is

Betsy's utility function for BMWs and money is given by 8,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $22,000.Her reservation price for one BMW is

If Bernice (whose utility function is min{x, y}, where x is her consumption of earrings and y is money left for other stuff)had an income of $19 and was paying a price of $5 for earrings when the price of earrings went up to $11, then the equivalent variation of the price change was

Desiree's utility function for BMWs and money is given by 9,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $22,000.Her reservation price for one BMW is

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $85, how much is Sir Plus's net consumer's surplus?

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $95, how much is Sir Plus's net consumer's surplus?

Cindy's utility function for BMWs and money is given by 19,000x + y, where x is the number of BMWs she has and y is the amount of money she has.Her income is $24,000.Her reservation price for one BMW is

Sir Plus has a demand function for mead that is given by the equation D(p)= 100 - p.If the price of mead is $85, how much is Sir Plus's net consumer's surplus?

Ms.Quasimodo has the utility function U(x, m)= 100x - x2/2 + m, where x is her consumption of earplugs and m is money left over to spend on other stuff.If she has $10,000 to spend on earplugs and other stuff and if the price of earplugs rises from $50 to $70, then her net consumer's surplus

Ms.Quasimodo has the utility function U(x, m)= 100x - x2/2 + m, where x is her consumption of earplugs and m is money left over to spend on other stuff.If she has $10,000 to spend on earplugs and other stuff and if the price of earplugs rises from $50 to $65, then her net consumer's surplus

Budget Constraint-Part A

Budget Constraint-Part B

Preferences-Part A

Preferences-Part B

Utility-Part A

Utility-Part B

Choice-Part A

Choice-Part B

Demand-Part A

Demand-Part B

Revealed Preference-Part A

Revealed Preference-Part B

Slutsky Equation-Part A

Slutsky Equation-Part B

Buying and Selling-Part A

Buying and Selling-Part B

Intertemporal Choice-Part A

Intertemporal Choice-Part B

Asset Markets-Part A

Asset Markets-Part B

Uncertainty-Part A

Uncertainty-Part B

Risky Assets-Part A

Risky Assets-Part B

Consumers Surplus-Part A

Market Demand-Part A

Market Demand-Part B

Equilibrium-Part A

Equilibrium-Part B

Auctions-Part A

Auctions-Part B

Technology-Part A

Technology-Part B

Profit Maximization-Part A

Profit Maximization-Part B

Cost Minimization-Part A

Cost Minimization-Part B

Cost Curves-Part A

Cost Curves-Part B

Firm Supply-Part A

Firm Supply-Part B

Industry Supply-Part A

Industry Supply-Part B

Monopoly-Part A

Monopoly-Part B

Monopoly Behavior-Part A

Monopoly Behavior-Part B

Factor Markets-Part A

Factor Markets-Part B

Oligopoly-Part A

Oligopoly-Part B

Game Theory-Part A

Game Theory-Part B

Game Applications-Part A

Game Applications-Part B

Behavioral Economics

Exchange-Part A

Exchange-Part B

Production-Part A

Production-Part B

Welfare-Part A

Welfare-Part B

Externalities-Part A

Externalities-Part B

Information Technology-Part A

Information Technology-Part B

Ms.Quasimodo has the utility function U(x, m)= 100x - x²/2 + m, where x is her consumption of earplugs and m is money left over to spend on other stuff.If she has $10,000 to spend on earplugs and other stuff and if the price of earplugs rises from $50 to $70, then her net consumer's surplus

Ms.Quasimodo has the utility function U(x, m)= 100x - x²/2 + m, where x is her consumption of earplugs and m is money left over to spend on other stuff.If she has $10,000 to spend on earplugs and other stuff and if the price of earplugs rises from $50 to $65, then her net consumer's surplus