Exam 30: Exchange-Part B

Astrid's utility function is U(H_A, C_A)= H_AC_A.Birger's utility function is min{H_B, C_B}.If Astrid's initial endowment is no cheese and 20 units of herring and if Birger's initial endowments are 9 units of cheese and no herring, then where p is a competitive equilibrium price of herring and cheese is the numeraire, demand equals supply in the herring market.This implies that

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Question 1

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An economy has two people, Charlie and Doris.There are two goods, apples and bananas.Charlie has an initial endowment of 5 apples and 10 bananas.Doris has an initial endowment of 10 apples and 5 bananas.Charlie's utility function is U(A_C, B_C)= A_CB_C, where A_C is his apple consumption and B_C is his banana consumption.Doris's utility function is U(A_D, B_D)=A_DB_D, where A_D and B_D are her apple and banana consumptions.At every Pareto optimal allocation,

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Question 2

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Suppose that Mutt's utility function is U(m, j)= max{2m, j} and Jeff's utility function is U(m, j)= 3m + j.Mutt is initially endowed with 6 units of milk and 2 units of juice, and Jeff is initially endowed with 2 units of milk and 6 units of juice.If we draw an Edgeworth box with milk on the horizontal axis and juice on the vertical axis and if we measure goods for Mutt by the distance from the lower left corner of the box, then the set of Pareto optimal allocations includes the

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Question 3

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suppose that Morris has the utility function U(b, w)= 5b + 15w and Philip has the utility function U(b, w)= bw.If we draw an Edgeworth box with books on the horizontal axis and wine on the vertical axis and if we measure Morris's consumptions from the lower left corner of the box, then the contract curve contains

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Question 4

Suppose that Mutt's utility function is U(m, j)= max{4m, j} and Jeff's utility function is U(m, j)= 2m + j.Mutt is initially endowed with 2 units of milk and 2 units of juice, and Jeff is initially endowed with 6 units of milk and 6 units of juice.If we draw an Edgeworth box with milk on the horizontal axis and juice on the vertical axis and if we measure goods for Mutt by the distance from the lower left corner of the box, then the set of Pareto optimal allocations includes the

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Question 5

An economy has two people, Charlie and Doris.There are two goods, apples and bananas.Charlie has an initial endowment of 6 apples and 4 bananas.Doris has an initial endowment of 12 apples and 2 bananas.Charlie's utility function is U(A_C, B_C)=A_CB_C, where A_C is his apple consumption and B_C is his banana consumption.Doris's utility function is U(A_D, B_D)=A_DB_D, where A_D and B_D are her apple and banana consumptions.At every Pareto optimal allocation,

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Question 6

Professor Nightsoil's utility function is U_N(B_N, P_N)= B_N + 4p^1/2_N and Dean Interface's utility function is U_I(B_I, P_I)+ B_I + 2p^1/2_I.If Nightsoil's initial endowment is 6 bromides and 20 platitudes and if Interface's initial endowment is 2 bromides and 10 platitudes, then at any Pareto efficient allocation where both persons consume positive amounts of both goods,

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Question 7

Professor Nightsoil's utility function is U_N(B_N, P_N)= B_N +4p^1/2_N and Dean Interface's utility function is U_I(B_I, P_I)=B_I + p^1/2_I.If Nightsoil's initial endowment is 5 bromides and 10 platitudes and if Interface's initial endowment is 2 bromides and 10 platitudes, then at any Pareto efficient allocation where both persons consume positive amounts of both goods,

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Question 8

suppose that Morris has the utility function U(b, w)= 6b + 6w and Philip has the utility function U(b, w)= bw.If we draw an Edgeworth box with books on the horizontal axis and wine on the vertical axis and if we measure Morris's consumptions from the lower left corner of the box, then the contract curve contains

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Question 9

Ken's utility function is U(Q_K, W_K)=Q_KW_K and Barbie's utility function is U(Q_B, W_B)=Q_BW_B.If Ken's initial endowment were 4 units of quiche and 6 units of wine and Barbie's endowment were 8 units of quiche and 6 units of wine, then at any Pareto optimal allocation where both persons consume some of each good,

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Question 10

Suppose that Mutt's utility function is U(m, j)= max{3m, j} and Jeff's utility function is U(m, j)= 2m + j.Mutt is initially endowed with 2 units of milk and 2 units of juice, and Jeff is initially endowed with 6 units of milk and 6 units of juice.If we draw an Edgeworth box with milk on the horizontal axis and juice on the vertical axis and if we measure goods for Mutt by the distance from the lower left corner of the box, then the set of Pareto optimal allocations includes the

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Question 11

Astrid's utility function is U(H_A, C_A)= H_AC_A.Birger's utility function is min{H_B, C_B}.If Astrid's initial endowment is no cheese and 20 units of herring and if Birger's initial endowments are 4 units of cheese and no herring, then where p is a competitive equilibrium price of herring and cheese is the numeraire, demand equals supply in the herring market.This implies that

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Question 12

Ken's utility function is U(Q_K, W_K)= Q_KW_K and Barbie's utility function is U(Q_B, W_B)= Q_BW_B.If Ken's initial endowment were 4 units of quiche and 10 units of wine and Barbie's endowment were 8 units of quiche and 10 units of wine, then at any Pareto optimal allocation where both persons consume some of each good,

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Question 13

An economy has two people, Charlie and Doris.There are two goods, apples and bananas.Charlie has an initial endowment of 3 apples and 4 bananas.Doris has an initial endowment of 6 apples and 2 bananas.Charlie's utility function is U(A_C, B_C)=A_CB_C, where A_C is his apple consumption and B_C is his banana consumption.Doris's utility function is U(A_D, B_D)=A_DB_D, where A_D and B_D are her apple and banana consumptions.At every Pareto optimal allocation,

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Question 14

Ken's utility function is U(Q_K, W_K)=Q_KW_K and Barbie's utility function is U(Q_B, W_B)=Q_BW_B.If Ken's initial endowment were 6 units of quiche and 9 units of wine and Barbie's endowment were 12 units of quiche and 9 units of wine, then at any Pareto optimal allocation where both persons consume some of each good,

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Question 15

Astrid's utility function is U(H_A, C_A)= H_AC_A.Birger's utility function is min{H_B, C_B}.If Astrid's initial endowment is no cheese and 8 units of herring and if Birger's initial endowments are 7 units of cheese and no herring, then where p is a competitive equilibrium price of herring and cheese is the numeraire, demand equals supply in the herring market.This implies that

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Question 16

Professor Nightsoil's utility function is U_N(B_N, P_N)=B_N +4p^1/2_N and Dean Interface's utility function is U_I(B_I, P_I)= B_I + 2p^1/2_I.If Nightsoil's initial endowment is 3 bromides and 20 platitudes and if Interface's initial endowment is 5 bromides and 15 platitudes, then at any Pareto efficient allocation where both persons consume positive amounts of both goods,

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Question 17

suppose that Morris has the utility function U(b, w)= 4b + 12w and Philip has the utility function U(b, w)= bw.If we draw an Edgeworth box with books on the horizontal axis and wine on the vertical axis and if we measure Morris's consumptions from the lower left corner of the box, then the contract curve contains

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Question 18

An economy has two people, Charlie and Doris.There are two goods, apples and bananas.Charlie has an initial endowment of 3 apples and 8 bananas.Doris has an initial endowment of 6 apples and 4 bananas.Charlie's utility function is U(A_C, B_C)=A_CB_C, where A_C is his apple consumption and B_C is his banana consumption.Doris's utility function is U(A_D, B_D)= A_DB_D, where A_D and B_D are her apple and banana consumptions.At every Pareto optimal allocation,

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Question 19

An economy has two people, Charlie and Doris.There are two goods, apples and bananas.Charlie has an initial endowment of 3 apples and 12 bananas.Doris has an initial endowment of 6 apples and 6 bananas.Charlie's utility function is U(A_C, B_C)=A_CB_C, where A_C is his apple consumption and B_C is his banana consumption.Doris's utility function is U(A_D, B_D)=A_DB_D, where A_D and B_D are her apple and banana consumptions.At every Pareto optimal allocation,

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Question 20

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Exam 30: Exchange-Part B

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

Consumers Surplus-Part B

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

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

Public Goods-Part A

Public Goods-Part B

Asymmetric Information-Part A

Asymmetric Information-Part B

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