Refer to the table below. If the price of B falls to $1, while the price of A and the consumer's income stay the same, what would be the utility-maximizing combination of goods A and B?
The table below shows the marginal-utility schedules for goods A and B for a hypothetical consumer. The price of good A is $1 and the price of good B is $2. The income of the consumer is $8.
A. 5 A and 3 B
B. 4 A and 4 B
C. 3 A and 5 B
D. 2 A and 6 B
C. 3 A and 5 B
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The way in which an oligopolist acts in response to a price change by a competitor is known as a
A) zero-sum game. B) positive-sum game. C) reaction function. D) cooperative game.
A change in demand for a resource can be caused by
a. proportion of economic rent in the total earnings of the resource b. opportunity cost of the resource c. price of the resource d. a change in the number of firms producing the final product e. ease with which resources can be put to alternative uses