Question

25. A consumer is currently at point A, as shown in the figure below. With the given budget line and indifference curve to maximize utility she should: 29, A monopolist faces a downward sloping demand curve, P-4610-13. 5.Q. The maximum total revenue lbe. A) $3935.57 B) $461.0 C) $6915 D) $922.0 30. If the price in a competitive market is S30, and the demand curve is given by the equation P = 90-3Q, then the consumer surplus will be A) $1,000 B) $1,200 C) $600 D) $300 good I A) buy less of good 1, more of good 2. B) buy more of good 1, and less of good 2 C) buy less of good 1, and less of good 2 D) remain at A. E) move all the way to B 1. The short-run supply curve of a firm in perfect competition is the rising segment of its short-run: A) marginal cost curve B) average fixed cost curve C) average variable cost curve D) marginal cost curve above its average variable cost curve. E) average total cost curve 26. The equation for the demand curve is P-250 (10)Q. f the price drops fromto then the quantity effect is A) S180; $179; 27.9: -2.00 B) S180: $179; 17.90 7.00 C) S185; $179; 22.90: 8.00 D) S185; $180; 27.9-2.00 while the price effect is 2. If all prices double, your budget line will shift halfway back to the origin. A) True B) False 27. Which of the following characterizes a supplier of a good in a perfectly compctitive market? A) It can influence the price ofits product B) In the short run, it produces a positive amount only if price is greater than average 33. The equation for the demand curve is P-835-d 0, when Q goes from 329 to 330, total cost. It chooses output such that marginal cost equals price. In the long run, it will shut down ifprice exceeds average variable cost. None of the above. then the price must go from A) $506 : $508 B) S506:$505 C) $508; $505 D) $508;$506 to C) D) E) 28. The price of good X is S1.50 and that of good Y, $1. A particular consumer who evaluates the marginal utility of Y to be 30 units, and is in equilibrium with respect to purchases of X and Y, must consider the marginal utility of X to be A) 15 units. B) 20 units, C) 30units. D) 45 units E) none of the above

Answer 1

25. (B)

26. (B)

27. (C)

28. (B)

29. Not clear

30. (D)

31. (D)

32. True

33. (B) (here put the units of quantity in the equation.)