JNU DOUBTS!!!!

Posted by SoniaKapoor on Apr 23, 2014; 8:53pm
URL: http://discussion-forum.276.s1.nabble.com/JNU-DOUBTS-tp7587685.html

Q1 Sam chooses to spend entire income on food and buys no clothing.His indiffernce curves are
a vertical
b horizontal
c have a MRS greater than price ratio where his budget line intersects the food axis
d have a MRS less than price ratio where his budget line intersects the food axis

Q2 A utllity maximising consumer will do which of the following:
a derive same marginal  utility fr the last unit purchased of each good
b derive same marginal utility fr the last ruppee spent on each good
c derive same utility fr each good
d derive same average utility fr each good

Q3 Suppose a consumer's preferances are given by the utility function U=4rootx+y.Suppose consumer's original equilibrium was x=9,y=10.If the consumption of x reduces to 4,how many units of y must he consume to remain on same indiffernce curve
a 10
b 8
c 14
d 5