Multiple Choice
Table 7-2
Table 7-2 above shows Keira's utility from soup and sandwiches. The price of soup is $2 per cup and the price of a sandwich is $3. Keira has $18 to spend on these two goods.
-Refer to Table 7-2.Holding prices constant,when Keira's income changed from $18 to $23,her utility maximizing bundle changed.Based on your answers to her optimal choices at the two income levels,what type of goods are soup and sandwiches?
A) Soup is an inferior good and sandwiches are a normal good.
B) Soup is a normal good and sandwiches are an inferior good.
C) Both soup and sandwiches are normal goods.
D) Both soup and sandwiches are inferior goods.
Correct Answer:

Verified
Correct Answer:
Verified
Q1: If the demand for a life-saving drug
Q31: A consumer maximizes her total utility from
Q35: The choice of a good is path
Q38: What did economists Robert Jensen and Nolan
Q39: The estimated price elasticities of demand
Q49: Suppose the price of gasoline in July
Q178: What is a Giffen good?
Q198: Maurice Allais, Reinhard Selten, and Vernon Smith
Q238: Economists usually assume that people act in
Q240: Standard economic theory asserts that sunk costs