Solved

Joaquim Has New Babies at Home, So He Cares Only

Question 71

Multiple Choice

Joaquim has new babies at home, so he cares only about diapers and wipes. Joaquim's preferences are represented by U(D,W) = DW, where D is the number of diapers and W is the number of wipes that Joaquim purchases. Joaquim's preferences can also be represented by this utility function:


A) U(D,W) = D0.5W0.5
B) U(D,W) = D0.5 + W0.5
C) U(D,W) = D + W
D) U(D,W) = 0.5D + 0.5W

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions