Deck 6: Extension: A: Demand

Question 1

if Charlie's utility function were X ⁵_A X_B, if apples cost 70 cents each, and if bananas cost 10 cents each, Charlie's budget line would be tangent to one of his indifference curves whenever

A)5X_B = 7X_A.
B)X_B = X_A.
C)X_A = 5X_B.
D)X_B = 5X_A.
E)70X_A + 10X_B = M.

Answer 1

5X_B = 7X_A.

Question 2

Ambrose's brother Francis has an income of $60 and a utility function U(x₁, x₂)= 20x^1/2₁ + x₂.The price of good 1(nuts)is $5 and the price of good 2(berries)is $1.How many units of berries will Augustine demand?

A)10
B)80
C)4
D)40
E)There is not enough information to determine the answer.

Answer 2

40

Question 3

Ambrose's brother Anthony has an income of $75 and a utility function U(x₁, x₂)= 20x^1/2₁ + x₂.The price of good 1 (nuts)is $2 and the price of good 2 (berries)is $1.How many units of nuts will Anthony demand?

A)35
B)21
C)23
D)25
E)48

Answer 3

25

Question 4

Ambrose's brother Anthony has an income of $205 and a utility function U(x₁, x₂)= 60x^1/2₁ + x₂.The price of good 1(nuts)is $5 and the price of good 2(berries)is $1.How many units of berries will Augustine demand?

A)36
B)42
C)50
D)25
E)There is not enough information to determine the answer.

Question 5

Ambrose's brother Anthony has an income of $95 and a utility function U(x₁, x₂)=40x^1/2₁ + x₂.The price of good 1(nuts)is $5 and the price of good 2(berries)is $1.How many units of berries will Augustine demand?

A)22
B)30
C)15
D)16
E)There is not enough information to determine the answer.

Question 6

Ambrose's brother Francis has an income of $170 and a utility function U(x₁, x₂)= 50x^1/2₁ + x₂.The price of good 1(nuts)is $5 and the price of good 2(berries)is $1.How many units of berries will Augustine demand?

A)31
B)25
C)45
D)90
E)There is not enough information to determine the answer.

Question 7

if Charlie's utility function were X ⁵_A X_B, the price of apples were p_A, the price of bananas were p_B, and his income were m, then Charlie's demand for apples would be

A)0.20p_Am.
B)m/(2p_A).
C)m/p_A + p_B).
D)0.67m/p_A.
E)1.20p_Bm/p_A.

Question 8

if Charlie's utility function were X ³_A X_B, the price of apples were p_A, the price of bananas were p_B, and his income were m, then Charlie's demand for apples would be

A)m/(p_A + p_B).
B)0.33p_Am.
C)0.75m/p_A.
D)m/(2p_A).
E)1.3p_Bm/p_A.

Question 9

if Charlie's utility function were X ³_A X_B, if apples cost 60 cents each, and if bananas cost 10 cents each, Charlie's budget line would be tangent to one of his indifference curves whenever

A)3X_B = 6X_A.
B)X_B = 3X_A.
C)X_B = X_A.
D)X_A = 3X_B.
E)60X_A + 10X_B = M.

Question 10

Ambrose's brother Bartholomew has an income of $109 and a utility function U(x₁, x₂)= 32x^1/2₁ + x₂.The price of good 1 (nuts)is $4 and the price of good 2 (berries)is $1.How many units of nuts will Bartholomew demand?

A)12
B)26
C)14
D)16
E)30

Question 11

Ambrose's brother Augustine has an income of $52 and a utility function U(x₁, x₂)= 18x^1/2₁ + x₂.The price of good 1(nuts)is $3 and the price of good 2(berries)is $1.How many units of berries will Augustine demand?

A)25
B)9
C)50
D)15
E)There is not enough information to determine the answer.

Question 12

Ambrose's brother Bartholomew has an income of $133 and a utility function U(x₁, x₂)= 28x^1/2₁ + x₂.The price of good 1 (nuts)is $2 and the price of good 2 (berries)is $1.How many units of nuts will Bartholomew demand?

A)45
B)59
C)47
D)49
E)96

Question 13

if Charlie's utility function were X ⁵_A X_B, the price of apples were p_A, the price of bananas were p_B, and his income were m, then Charlie's demand for apples would be

A)0.83m/p_A.
B)m/(2p_A).
C)0.20p_Am.
D)m/(p_A + p_B).
E)1.20p_Bm/p_A.

Question 14

if Charlie's utility function were X ⁶_A X_B, if apples cost 90 cents each, and if bananas cost 10 cents each, Charlie's budget line would be tangent to one of his indifference curves whenever

A)X_A = 6X_B.
B)X_B = 6X_A.
C)X_B = X_A.
D)6X_B = 9X_A.
E)90X_A + 10X_B = M.

Question 15

if Charlie's utility function were X ⁵_A X_B, if apples cost 50 cents each, and if bananas cost 10 cents each, Charlie's budget line would be tangent to one of his indifference curves whenever

A)5X_B = 5X_A.
B)X_B = 5X_A.
C)X_B = X_A.
D)X_A = 5X_B.
E)50X_A + 10X_B = M.

Question 16

if Charlie's utility function were X ²_A X_B, the price of apples were p_A, the price of bananas were p_B, and his income were m, then Charlie's demand for apples would be

A)0.67m/p_A.
B)0.50p_Am.
C)m/(p_A + p_B).
D)m/(2p_A).
E)1.50p_Bm/p_A.

Question 17

if Charlie's utility function were X ²_A X_B, the price of apples were p_A, the price of bananas were p_B, and his income were m, then Charlie's demand for apples would be

A)m/(2p_A).
B)0.50p_Am.
C)m/(p_A + p_B).
D)0.67m/p_A.
E)1.50p_Bm/p_A.

Question 18

if Charlie's utility function were X ⁶_A X_B, if apples cost 40 cents each, and if bananas cost 10 cents each, Charlie's budget line would be tangent to one of his indifference curves whenever

A)X_B = X_A.
B)6X_B = 4X_A.
C)X_B = 6X_A.
D)X_A = 6X_B.
E)40X_A + 10X_B = M.

Question 19

Ambrose's brother Augustine has an income of $105 and a utility function U(x₁, x₂)= 40x^1/2₁ + x₂.The price of good 1 (nuts)is $5 and the price of good 2 (berries)is $1.How many units of nuts will Augustine demand?

A)12
B)16
C)14
D)26
E)30

Question 20

Ambrose's brother Bartholomew has an income of $114 and a utility function U(x₁, x₂)= 32x^1/2₁ + x₂.The price of good 1 (nuts)is $4 and the price of good 2 (berries)is $1.How many units of nuts will Bartholomew demand?

A)26
B)14
C)16
D)12
E)30

Question 21

recall that Casper's utility function is 3x + y, where x is his consumption of cocoa and y is his consumption of cheese.If the total cost of x units of cocoa is x², the price of cheese is $2, and Casper's income is $39, how many units of cocoa will he consume?

A)5
B)0
C)2
D)3
E)6

Question 22

where x is whips and y is leather jackets, if Kinko's utility function were U(x, y)=min{7x, 5x + 10y}, then if the price of whips were $20 and the price of leather jackets were $20, Kinko would demand

A)6 times as many leather jackets as whips.
B)4 times as many leather jackets as whips.
C)7 times as many whips as leather jackets.
D)5 times as many whips as leather jackets.
E)only leather jackets.

Question 23

recall that Casper's utility function is 3x + y, where x is his consumption of cocoa and y is his consumption of cheese.If the total cost of x units of cocoa is x², the price of cheese is $8, and Casper's income is $184, how many units of cocoa will he consume?

A)9
B)12
C)23
D)11
E)24

Question 24

where x is whips and y is leather jackets, if Kinko's utility function were U(x, y)= min{7x, 3x + 12y}, then if the price of whips were $20 and the price of leather jackets were $60, Kinko would demand

A)4 times as many leather jackets as whips.
B)3 times as many whips as leather jackets.
C)5 times as many whips as leather jackets.
D)2 times as many leather jackets as whips.
E)only leather jackets.

Question 25

where x is whips and y is leather jackets, if Kinko's utility function were U(x, y)= min{5x, 3x + 6y}, then if the price of whips were $20 and the price of leather jackets were $20, Kinko would demand

A)3 times as many whips as leather jackets.
B)4 times as many leather jackets as whips.
C)2 times as many leather jackets as whips.
D)5 times as many whips as leather jackets.
E)only leather jackets.

Question 26

recall that Miss Muffett insists on consuming 2 units of whey per unit of curds.If the price of curds is $4 and the price of whey is $4, then if Miss Muffett's income is m, her demand for curds will be

A)4m/4.
B)m/4.
C)4C + 4W = m.
D)4m.
E)m/12

Question 27

recall that Casper's utility function is 3x + y, where x is his consumption of cocoa and y is his consumption of cheese.If the total cost of x units of cocoa is x², the price of cheese is $4, and Casper's income is $56, how many units of cocoa will he consume?

A)6
B)5
C)11
D)3
E)12

Question 28

suppose that it takes 2 square feet to grow a cockleshell and 5 square feet to grow a silver bell in Mary's garden.If her space had initially been 90 square feet and were increased to 120 square feet,

A)she would only increase her planting of silver bells.
B)she would plant more silver bells and more cockleshells.
C)she would only increase her planting of cockleshells.
D)cockleshells would be an inferior good.
E)she would increase her planting of cockleshells and decrease her planting of silver bells.

Question 29

where x is whips and y is leather jackets, if Kinko's utility function were U(x, y)=min{6x, 3x + 9y}, then if the price of whips were $20 and the price of leather jackets were $40, Kinko would demand

A)2 times as many leather jackets as whips.
B)3 times as many whips as leather jackets.
C)4 times as many leather jackets as whips.
D)5 times as many whips as leather jackets.
E)only leather jackets.

Question 30

recall that Casper's utility function is 3x + y, where x is his consumption of cocoa and y is his consumption of cheese.If the total cost of x units of cocoa is x², the price of cheese is $4, and Casper's income is $51, how many units of cocoa will he consume?

A)3
B)5
C)11
D)6
E)12

Question 31

recall that Miss Muffett insists on consuming 2 units of whey per unit of curds.If the price of curds is $3 and the price of whey is $5, then if Miss Muffett's income is m, her demand for curds will be

A)5m/3.
B)3m.
C)3C + 5W = m.
D)m/3.
E)m/13.

Question 32

where x is whips and y is leather jackets, if Kinko's utility function were U(x, y)= min{8x, 4x + 16y}, then if the price of whips were $20 and the price of leather jackets were $60, Kinko would demand

A)6 times as many whips as leather jackets.
B)5 times as many leather jackets as whips.
C)3 times as many leather jackets as whips.
D)4 times as many whips as leather jackets.
E)only leather jackets.

Question 33

recall that Casper's utility function is 3x + y, where x is his consumption of cocoa and y is his consumption of cheese.If the total cost of x units of cocoa is x², the price of cheese is $6, and Casper's income is $101, how many units of cocoa will he consume?

A)9
B)17
C)8
D)6
E)18

Question 34

recall that Miss Muffett insists on consuming 2 units of whey per unit of curds.If the price of curds is $5 and the price of whey is $2, then if Miss Muffett's income is m, her demand for curds will be

A)m/5.
B)2m/5.
C)5C + 2W = m.
D)5m.
E)m/9.

Question 35

recall that Miss Muffett insists on consuming 2 units of whey per unit of curds.If the price of curds is $5 and the price of whey is $6, then if Miss Muffett's income is m, her demand for curds will be

A)m/5.
B)6m/5.
C)5C + 6W = m.
D)5m.
E)m/17.

Question 36

recall that Miss Muffett insists on consuming 2 units of whey per unit of curds.If the price of curds is $5 and the price of whey is $4, then if Miss Muffett's income is m, her demand for curds will be

A)5m.
B)4m/5.
C)5C + 4W = m.
D)m/5.
E)m/13.