Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. a. What is the expression for Raymond’s budget constraint? b. Draw a graph of Raymond’s budget line (meatloaf on the y axis)

Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. a. What is the expression for Raymond’s budget constraint? b. Draw a graph of Raymond’s budget line (meatloaf on the y axis)

Microeconomics A Contemporary Intro

10th Edition

ISBN:9781285635101

Author:MCEACHERN

Publisher:MCEACHERN

Chapter6: Consumer Choice And Demand

Section: Chapter Questions

Problem 2QFR

See similar textbooks

Related questions

Q: alex has a budget of $100 a month for a movie tickets and restaurant meals. A movie ticket will cost…

A: Income per month(M) = $100 Two goods: Movie ticket(M) & Restaurant meal(R) Price of Movie ticket…

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

A: Budget constraint refers to all possible combinations of goods that someone can afford, given the…

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

A: The budget constraint is the boundary of the opportunity set all possible combinations of…

Q: Draw budget constraint if he has income of Rs. 1000 which he can spend on buying Pizzas and Pepsi…

A: Consumer's budget constraint :- It is the inequality cost less than or equal to his income.

Q: A consumer has income of $3,000. Fresh Juice costs $3 per glass, and cheese costs $6 per pound.…

A: On horizontal axis we have taken cheese and on vertical axis we have taken juice. • With an income…

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

Q: Use this information to answer the following 4 questions: Marie has a weekly budget of $24, which…

A: Hi Student, thanks for posting the question. As per the guideline, we are providing answer for the…

Q: Mika earns $232 per week which she spends entirely at the grocery store, purchasing either food or…

A: In the consumer theory, an individual maximizes his utility by consuming at a point where the…

Q: Suppose Cawlin has a budget of $90 that he spends on movies Q) and roller skating (Qal. The price of…

A: a budget constraint represents all the combinations of goods and services that a consumer may…

Q: Suppose Maryís utility function is given as U(X; Y ) = 2X + Y . Mary has and income of 60 dollars.…

A: An important concept that measures preferences over a set of a particular good and services in terms…

Q: Mr. Robinson makes $200 a week and spends his entire income on running shoes and basketball shorts.…

A: Income = 200 per week Cost of Running Shoes = 20 Cost of Basketball Shorts = 20

Q: Lucas has $40 per week that he can spend on lemon soda (X) and chips (Y). The price of the lemon…

A: The budget refers to the total income of a consumer which can be used to buy a given level of goods,…

Q: Simone's initial budget constraint is defined by the following equation:…

A: Hey champ,Welcome to this platform. Here you will get the answer with better quality in minimum…

Q: Jessie has a budget of $50 and is attempting to draw her budget constraint for purchasing cookies…

A: Price of goods can be calculated by using the following formula.

Q: to spend 30 dollars weekly on movies and burgers movie ticket costs 6 dollar each and burger cost 3…

A: Budget constraint shows the combination of two goods that a consumer can afford within the given…

Q: Find the attached file.

A: Given: The consumer has an income of- $400 To assume X-axis on a horizontal line The price of the X…

Q: Maya divides her income between coffee and croissants (both of which are normal goods). An early…

A: There are primarily two types of products: inferior goods and normal goods. The inferior goods are…

Q: Which budget constraint panel in Figure below shows the combined effects of an increase in the price…

A: Budget constraint is said to be a combination of goods that a consumer can purchase with given…

Q: draw the budget constraint for a person with income of $ 1000 if the price of pepsi is $5 and the…

A: A budget constraint is a term used in economics to describe all of the different combinations of…

Q: a. Graph Sabine's budget constraint for basketball games and football games. Use the tool provided…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub parts for…

Q: A consumer has income of $3,000. Wine costs $3 a glass, and cheese costs $6 a pound. Draw the…

A: Total income of the consumer = $3000 The cost of a glass = $3 The cost of cheese = $6

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

A: Monthly income = $1500 Price of meatloaf = $375Price of pineapple = $150

Q: What is the value of the x-intercept? What is the value of the y-intercept? What is the slope of…

A: Budget constraint is defined as the combinations of all the goods and services that a consumer…

Q: Suppose that the price of commodity Y is $1 per unit while the price of commodity X is $2 per unit…

A: The income of an individual or a household is what the individual receives in terms of revenue from…

Q: If good X plotted on the x-axis, and good Y plotted on the y-axis, an increase in the price of good…

A: Budget constraint shows the amount of the two goods that can be purchased given their prices and…

Q: A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or sodas,…

A: Budget constraint refers to all possible points of consumption where the consumer utilizes its full…

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

A: (Q) Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be…

Q: What is a budget constraint? A consumer has an income of $3000. Soda costs $3 per liter and cheese…

A: Micro economics is a branch of economics which studies economics at individual level. It means that…

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

Q: Suppose that the price of commodity Y is $1 per unit while the price of commodity X is $2 per unit…

A: The budget constraint refers to the combination of two goods that a consumer can buy with the…

Q: Q. 2. Sania spends Rs. 150 per month on coffee and buns at the cafeteria. A cup of coffee costs Rs.…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Suppose a consumer has a monthly income of m = 100 which she spends on two commodities: french fries…

A: (e) The slope of the budget line is optimal for 2 bundles at different ratios. Thus, it can be…

Q: Suppose Cawlin has a budget of $90 that he spends on movies (Q) and roller skating (Qa. The price of…

A: The budget constraint of a consumer is the maximum amount of two goods which a consumer can buy…

Q: By definition, a budget constraint shows the consumption bundles that a consumer can afford. Assume…

A: The amount of goods that a consumer can purchase over a given period of time is limited by the…

Q: Suppose Raymond decides to cut his monthly budget in half. Coincidentally, the next time he shops,…

A: *Answer:

Q: Kali lives on mangoes and avocados, Pm = $5, Pa = $10, and her income is $200.Identify her budget…

A: Budget line shows all the combination of goods that a consumer can consume with the given prices and…

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

A: Raymond's preferences: Meatloaves (M) Pineapples (P) Monthly budget = $1500 Cost of one meatloaf =…

Q: Refer to the information provided in Figure below to answer the question that follow. Molly's montly…

A: Ques 1) We have the following information : Molly's income = 75 Price of DVD = 3 Price of CD = 5

Q: Alex has a budget of $100 a month for movie tickets and restaurant meals. A movie ticket will cost…

A: Given Alex total budget for movie tickets and restaurant meals (m)=$100 Price of movie ticket P1…

Q: Leyla consumes goods X and Y. The price of good X is Px and the price of good Y is Py, Leyla’s…

A: Budget constraint refers to the different combinations of two goods that a consumer can consume with…

Q: Which combinations of burritos and sodas are unaffordable--those to the left of the line in the…

Q: Suppose Sam has a weekly budget of $48 to spend on juice and yogurt. Juice is priced at $4 per…

A: Given Weekly budget of Sam = $48 Price of juice =$4 per gallon yogurt price = $2 per container

Q: Why must a budget constraint have a negative slope? Income and quantity demanded are inversely…

A: Note: “Since you have asked multiple questions, we will solve the first question for you. If you…

Q: PYQY = M, where PX = $2, PY = $1 and M = $10 (M is income) a. What is the slope of the budget…

A: The ‘optimal choice’ of the goods of the consumers is dependent on the income of the consumers. The…

Q: A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or sodas,…

A: Budget line shows or exhibits the different combinations of two goods that a consumer can buy with…

Q: Suppose you had a budget of $20.00 and the prices of a burger and a slice of pizza are $5.00 and…

A: Budget = $20 Price of burger = $5 Price of pizza slice = $2

Concept explainers

Revealed Preferences and Budget Constraint Analysis

Revealed means “Let Out,” and Preference means “Choice”; Choice Reveals Preference.

Question

Can you please assist?

Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150.

a. What is the expression for Raymond’s budget constraint?

b. Draw a graph of Raymond’s budget line (meatloaf on the y axis).

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Raymond consumes meatloaves and pineapples. He has decided that hismonthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. What is the expression for Raymond’s budget constraint? Draw a graph of Raymond’s budget line (meatloaf on the y axis).
Raymond consumes meatloaves and pineapples. He has decided that hismonthly budget will be $1500. Suppose that one meatloaf costs $375, while onepineapple costs $150.i. What is the expression for Raymond’s budget constraint? ii. Draw a graph of Raymond’s budget line (meatloaf on the y axis).
Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. What is the expression for Raymond’s budget constraint? Draw a graph of Raymond’s budget line (meatloaf on the y axis). Show how Raymond’s budget line changes if the price of pineapples increases to $370. Suppose Raymond decides to cut his monthly budget in half. Coincidentally, the next time he shops, he learns that meatloaves and pineapples are on sale for half price. Show what happens to Raymond’s budget line?
Raymond consumes meatloaves and pineapples. He has decided that hismonthly budget will be $1500. Suppose that one meatloaf costs $375, while onepineapple costs $150.i. What is the expression for Raymond’s budget constraint
Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. i. What is the expression for Raymond’s budget constraint? ii. Draw a graph of Raymond’s budget line (meatloaf on the y axis). iii. Show how Raymond’s budget line changes if the price of pineapples increases to $370. iv. Suppose Raymond decides to cut his monthly budget in half. Coincidentally, the next time he shops, he learns that meatloaves and pineapples are on sale for half price. Show what happens to Raymond’s budget line?
Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150.a. What is the expression for Raymond’s budget constraint? b. Draw a graph of Raymond’s budget line (meatloaf on the y axis). c. Show how Raymond’s budget line changes if the price of pineapples increases to $370 d. Suppose Raymond decides to cut his monthly budget in half.Coincidentally, the next time he shops, he learns that meatloaves and pineapples are on sale for half price. Show what happens to Raymond’s budget line?
Would you expect marginal utility to rise or fall with additional consumption of a good? Why? b. Raymond consumes meatloaves and pineapples. He has decided that hismonthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150.i. What is the expression for Raymond’s budget constraint? ii. Draw a graph of Raymond’s budget line (meatloaf on the y axis). iii. Show how Raymond’s budget line changes if the price of pineapplesincreases to $370. iv. Suppose Raymond decides to cut his monthly budget in half.Coincidentally, the next time he shops, he learns that meatloaves andpineapples are on sale for half price. Show what happens to Raymond’sbudget line? c. Shannon consumes dresses and lemonade. The price of a dresses is $10 and the price of a lemonade is $30. She is spending all her income on the two goods and her marginal rate of substitution of lemonade for dresses is 2. Is she at an optimum? Explain
The graph represents a budget constraint showing the purchases of Good X and Good Y. If the price of good X falls, then budget constraint will move from budget constraint
1. 2. Suppose Frank enjoys traveling and his utility is a function of the number of airplane trips he takes and the number of bus rides he takes. His utility function is given by U(b,p) = 3b0-4p0.8. A trip on a plane costs $400, a trip on the bus costs $50 and Frank has $3,000 to spend on travel. a. Draw Frank's budget line on a graph with bus trips on the vertical axis. b. Calculate AND INTERPRET the slope of Frank's budget line. c. Draw a representative indifference curve on your graph and provide a function that describes the slope of this indifference curve (i.e., find Frank's marginal rate of substitution). What is the INTERPRETATION of the marginal rate of substitution? d. What two conditions must be met in order for Frank to maximize his utility? e. What are the utility maximizing quantities of plane trips and bus trips for Frank? Given income of $1000, Px = 25 and Py = 40, find (1) a function for the MRS and (2) the utility maximizing consumption bundle for each of the…
Consider a graph with paper on the x-axis and pencils on the y-axis. If the price of paper decreases, then (select all that apply): Check All That Apply the budget constraint will become steeper (the absolute value of the slope will increase).the budget constraint will become steeper (the absolute value of the slope will increase). the budget constraint will become flatter (the absolute value of the slope will decrease). the budget constraint will become flatter (the absolute value of the slope will decrease). the slope of the budget constraint will not change.the slope of the budget constraint will not change. the x-intercept will increase.the x-intercept will increase. the x-intercept will decrease.the x-intercept will decrease. the x-intercept will not change.the x-intercept will not change. the y-intercept will increase.the y-intercept will increase. the y-intercept will decrease.the y-intercept will decrease. the y-intercept will not…
Raymond consumes meatloaves and pineapples. He has decided that hismonthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. i. Draw a graph of Raymond’s budget line (meatloaf on the y axis). ii. Show how Raymond’s budget line changes if the price of pineapplesincreases to $370.
Consider a graph with paper on the x-axis and pencils on the y-axis. If the price of pencils increases, then (select all that apply): Check All That Apply the budget constraint will become steeper (the absolute value of the slope will increase).the budget constraint will become steeper (the absolute value of the slope will increase). the budget constraint will become flatter (the absolute value of the slope will decrease). the budget constraint will become flatter (the absolute value of the slope will decrease). the slope of the budget constraint will not change.the slope of the budget constraint will not change. the x-intercept will increase.the x-intercept will increase. the x-intercept will decrease.the x-intercept will decrease. the x-intercept will not change.the x-intercept will not change. the y-intercept will increase.the y-intercept will increase. the y-intercept will decrease.the y-intercept will decrease. the y-intercept will not…