Use the following to answer question:
Figure 15.5 
-(Figure 15.5) Suppose that Elaine has 1 pancake and 4 bowls of cereal, which gives her a marginal utility of pancakes of 20 and marginal utility of cereal of 5. Jerry has 7 pancakes and 6 bowls of cereal, which gives him a marginal utility of pancakes of 6 and marginal utility of cereal of 18. Which of the following statements is (are) TRUE?
A) The allocation is Pareto-efficient.
B) Elaine and Jerry would both be better off if Elaine traded 1 pancake for 1 bowl of Jerry's cereal.
C) A Pareto improvement would be for Elaine to give Jerry 2 bowls of cereal in exchange for 1 pancake.
D) Elaine and Jerry would both be better off if Elaine traded 1/2 pancake for 1 bowl of Jerry's cereal.
Correct Answer:
Verified
Q22: Use the following to answer question:
Table 15.2
Q23: Use the following to answer questions 32-33:
Figure
Q23: At a birthday party, all the little
Q24: Use the following to answer question:
Figure 15.4
Q25: Use the following to answer question:
Figure 15.2
Q27: Use the following to answer questions 34-35:
Figure
Q28: Use the following to answer question:
Figure 15.6
Q29: Use the following to answer questions 23-24:
Figure
Q30: Use the following to answer question:
Figure 15.9
Q31: Use the following to answer questions 34-35:
Figure
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