Refer to the table below. Which combination would give the child the maximum utility out of spending $4?
A child is given $4 of pocket money to be spent on either hard candies or chocolates. Chocolates cost 40 cents and hard candies 80 cents each. The marginal utilities derived from each product are as shown in the following table:
A. 6 chocolates and 2 hard candies
B. 4 chocolates and 3 hard candies
C. 2 chocolates and 4 hard candies
D. 0 chocolates and 5 hard candies
C. 2 chocolates and 4 hard candies
Economics
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Refer to Figure 9.8. If free trade in sugar is allowed, consumer surplus will be
A) $175. B) $250. C) $30,625. D) $61,250. E) $62,500.
Economics
In the circular flow model of the market system, households:
A. Buy products and resources B. Sell products and resources C. Buy products and sell resources D. Sell products and buy resources
Economics