Answer: A
Suppose that the last dollar that Victoria receives as income
brings her a marginal utility of 10 utils while the last dollar that
Fredrick receives as income brings him a marginal utility of
15 utils. If our goal is to maximize the combined total utility of
Victoria and Fredrick, we should
a. Redistribute income from Victoria to Frederick
b. Redistribute income from Fredrick to Victoria
c. Not engage in any redistribution because the current situation already maximizes total utility
d. None of the above
Step-by-step explanation:
Marginal utility is the added satisfaction derived from consuming an additional unit of a good or service. In the above question, Fredrick derives more satisfaction from his last dollar than Victoria, and will therefore achieve a higher marginal utility with additional income than Victoria does with her current income. If we want to maximize the combined utility, we should redistribute income from Victoria to Fredrick.
The logic behind this is the diminishing marginal utility. The first unit of a good consumed gives the highest level of satisfaction, marginal utility reduces with additional units consumed. In the same way, when we spend our income, we purchase the things that give us the maximum satisfaction first.
.
Step-by-step explanation:
<em>I</em><em> </em><em>didn't</em><em> </em><em>understand</em><em> </em><em>a thing</em><em> </em><em>.</em><em>.</em><em>.</em><em>.</em><em>.</em>
Answer: 26/3
Step-by-step explanation: When dividing by a fraction, we can change
the division sign to multiplication and flip the second fraction.
So 13/2 ÷ 3/4 means the same thing as 13/2 · 4/3.
So when dividing by a fraction, we can just multiply
by the reciprocal of that fraction or that fraction flipped.
Next we cross-cancel.
4 and 2 reduce to 2 and 1.
Multiplying across the numerator and denominators we have 26/3.
Answer:
50,75,and 100 there's supposed to be a 20 too but it's not there but oh well
