Jimmy's Utility Function Is U(a, B) = Ab, Where a Is

question 41

True/False

Jimmy's utility function is U(a, b) = ab, where a is his consumption of apples and b is his consumption of bananas. If prices and income change in such a way that Jimmy's old consumption lies on his new budget line, then Jimmy will not change his consumption bundle.

---

Definitions:

Charge

An expense or cost applied to a person or entity, often relating to financial transactions.

Receivers

Individuals or entities appointed to manage the affairs of a financially distressed company.

Receiver

An external administrator appointed by a court or secured creditor to collect and sell enough of the charged assets to repay the debt owed to the secured creditor, payout the money collected in the order required by the Corporations Act, and report to ASIC any offences or other irregular matters they discover in performing their duties.

Special Bank Account

An account designed for a specific purpose, often subject to certain conditions or restrictions different from regular accounts.