Essay
-Margo buys music CDs and movies on DVDs. The table above shows her total utility from each good.
a) Draw graphs showing Margo's utility from music CDs and from movies on DVDs.
b) Compare the two utility graphs. Describe Margo's preferences.
c) Draw graphs that show Margo's marginal utility from music CDs and from movies on DVDs.
d) What do the two marginal utility graphs tell you about Margo's preferences?
Correct Answer:
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a) The figure with the total utilities ...View Answer
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Correct Answer:
Verified
a) The figure with the total utilities ...View Answer
Unlock this answer now
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