Top Posters
Since Sunday
5
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
jmoney5 jmoney5
wrote...
Go to Answer
Posts: 470
Rep: 16 0
5 years ago

Question 1.

The real-income effect of a price change is most significant when

• the substitution effect is insignificant.

• the marginal utility per dollar spent on the last unit is high.

• the substitution effect is significant too.

• the good under consideration constitutes a major portion of the consumer's budget.

Question 2.

If a consumer is initially at an optimum, and then the price of Y decreases, then

• MUX/MUY < PY/PX.

• MUX/PX > MUY/PY.

• MUX/PX < MUY/PY.

• MUX/PX = MUY/PY.
Textbook 
Economics Today: The Micro View

Economics Today: The Micro View


Edition: 19th
Author:
Read 53 times
1 Reply
Replies
Answer verified by a subject expert
BakariBakari
wrote...
#1
Posts: 371
Rep: 56 0
5 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

jmoney5 Author
wrote...

5 years ago
Good timing, thanks!
erimis
wrote...

Yesterday
This helped my grade so much Perfect
taydav
wrote...

2 hours ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1279 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 187
  
 876
  
 286
Your Opinion
Which is the best fuel for late night cramming?
Votes: 145
Previous poll results: What's your favorite coffee beverage?