Japan has increased the price of rice imported from the united states through a tax on american rice. this is a form of

Georgina consumes only grapefruits and pineapples. Her utility function is U (x comma y )equals x to the power of 0.8 end expone

vlabodo [156]

Answer:

21

Explanation:

Given that:

The utility function U(x, y) = $x^{0.8} y^{0.2}$

The budget line income is:

105=4x +3y

The equation MRTS is:

$\dfrac{MU_x}{MU_y } =\dfrac{ Px}{Py}$

where;

$MU_x(x,y) = 0.8 \times x^{0.8-1}\times y^{0.2} \\ \\ \implies 0.8 \times x^{-0.2}\times y^{0.2}$

$MU_y(x,y) = 0.2 \times x^{0.8}\times y^{0.2-1} \\ \\ \implies 0.8 \times x^{0.8}\times y^{-0.8}$

and:

$P_y= 3$

$P_x = 4$

∴

Using the equation MRTS:

$\dfrac{MU_x}{MU_y } =\dfrac{ Px}{Py}$

$\dfrac{ 0.8 \times x^{-0.2}\times y^{0.2} }{0.8 \times x^{0.8}\times y^{-0.8}} = \dfrac{4}{3}$

$\dfrac{4y }{x} = \dfrac{4}{3}$

4x = 12y

x = 12y/4

x = 3y

Replacing the value of x into the budget line income, we have:

105 = 4x + 3y

105 = 4(3y) + 3y

105 = 12y + 3y

105 = 15y

y = 105/15

y = 7

Then, from x = 3y

x = 3(7)

x = 21

Thus, she will consume 21 gapefruits

5 0

2 years ago

While waiting in line to buy two tacos at 80 cents each and a medium drink for 90 cents, Jordan notices that the restaurant has

marysya [2.9K]

Answer:

(B). 50 cents

Explanation:

Marginal cost is the cost incurred by producing or purchasing one more unit of an item.

If Jordan buys two tacos and a medium drink, it will cost him $2 and 50 cents or 250 cents (80 + 80 + 90).

However, if he opts for the value meal of three tacos and a medium drink, that costs $3 (300 cents), then he would be purchasing one additional taco at a marginal cost of 50 cent.

Marginal cost of additional unit of taco = 300 cents - 250 cents = 50 cents.

4 0

3 years ago

Failure to accrue interest expense results in A. an overstatement of net income and an understatement of liabilities. B. an unde

Simora [160]

Answer:

A. an overstatement of net income and an understatement of liabilities.

Explanation:

5 0

2 years ago

________ is what is left after a firm pays its variable costs and fixed costs

jek_recluse [69]

Profit is what is left after a firm plays its variable costs and fixed costs.

5 0

3 years ago

nvestment advisors at your local bank branch office: a) Are not able to plan strongly diversified portfolios for their customers

julsineya [31]

Answer:

b) Must be transparent about their rates and services

Explanation:

investment advisors at your local bank branch office: Must be transparent about their rates and services

7 0

2 years ago