-Chase Has a Budget of $14 Which He Must Allocate

question 272

Multiple Choice

-Chase has a budget of $14 which he must allocate between steak and cranberry juice.The table gives his marginal utility and the marginal utility per dollar for both of those goods.The price of steak is $10 per serving and the price of cranberry juice is $2 per serving.To maximize his utility,Chase should buy

• A) 2 servings of steak and 2 servings of cranberry juice.
• B) 2 servings of steak and 4 servings of cranberry juice.
• C) 1 serving of steak because this has the highest marginal utility.
• D) 1 serving of steak and 2 servings of cranberry juice.
• E) 4 servings of steak and 4 servings of cranberry juice.

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Definitions:

Identical Twins

Twins that originated from the same fertilized egg, sharing all of their genetic material, and typically having very similar appearances.

Dizygotic Twins

Dizygotic twins, also known as fraternal twins, are produced from the fertilization of two separate eggs during the same pregnancy, sharing about 50% of their DNA.

Fraternal Twins

Siblings born at the same time from separate eggs fertilized by different sperm cells, sharing 50% of their DNA.

One-Child Policy

A government-imposed limit of one child per family, famously utilized by China from 1979 to 2015 to control population growth.