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micro economics question on marginal utility?
a dinner guest is serious when he claims he just could not get enough of your pizza and the more he ate the more he wanted. you can conclude the maginal utility of pizza is
zero
increasing
decreasing
or
constant
4 Answers
- 1 decade agoFavorite Answer
Wanting more does not mean increasing....
You can still want more even if you have decreasing marginal utility, you just want less each additional time.
But since the dinner guest wants more the more he has, it is increasing.
- 6 years ago
Please help with this question as well:
Update: 1. At the consumer optimum involving goods A and B, the marginal utility of good A is two times the marginal utility of good B. The price of good B is $4.00. The price of good A is?
Possible Answers:
a) $8
b) 12
c) 2
d) There is not enough information
- 4 years ago
i do no longer understand what the heck you're speaking approximately and that i'm no longer likely to dive into an economics e book, in spite of the undeniable fact that, i'm going to reply to your question in basic terms off the coolest of my head. To me, the word "Marginal application" sounds like some thing you hardly choose, yet you nevertheless choose it. "Optimizing" sounds like which of those adult males have an outstanding stability of procuring for apples and pears. So besides, i think of basically Kramer has optimized his spending on Apples and Pears; he spent $6 (3 * 2) on Apples, and returned $6 on Pears (6 * a million). Newman could actually replace his spending by way of fact he's dropping way too lots on Apples (12 * 2 = $24), whilst basically $3 on Pears (3 * a million = $3)... Newman could basically purchase 5 Apples, and 10 pears so as that he spends the comparable quantity of money on the two culmination. 5 apples * $2 = 10, 10 pears * $a million = 10. Elaine could do what Kramer did, purchase 3 Apples, and 6 pears, in view that she basically needs to purchase 9 products. George has chosen to purchase 12 products, yet he may be optimizing if he bought 4 Apples, and eight Pears. 4 Apples * $2 = $8 ... 8 Pears * $a million = $8 Jerry has chosen to purchase the main products with 18. in case you divide 18 by skill of three, that is 6. So he could purchase 6 Apples, and 12 pears. notably lots the opposite of what he certainly bought. 6 Apples * $2 = $12 ... 12 Pears * $a million = $12.