On a Certain Island There Are Only Two Goods, Wheat

question 10

Multiple Choice

On a certain island there are only two goods, wheat and milk. The only scarce resource is land. There are 1,000 acres of land. An acre of land will produce either 16 units of milk or 31 units of wheat. Some citizens have lots of land; some have just a little bit. The citizens of the island all have utility functions of the form U(M, W) = MW. At every Pareto optimal allocation,

• A) the number of units of milk produced equals the number of units of wheat produced.
• B) total milk production is 8,000 units.
• C) all citizens consume the same commodity bundle.
• D) every consumer's marginal rate of substitution between milk and wheat is -1.
• E) None of the above is true at every Pareto optimal allocation.

Identify and write common factors and multiples of numbers.

Convert between fractions, decimals, and percentages.

Understand and apply basic arithmetic operations (addition, subtraction, multiplication, division) including with fractions and decimals.

Apply mathematical symbols and interpret their meanings in context.

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Definitions:

Borderline Personality Disorders

A mental health condition characterized by unstable moods, behavior, and relationships.

Psychotic Symptoms

Experiences that involve a loss of contact with reality, such as hallucinations or delusions, often found in disorders like schizophrenia.

Psychoanalytic Theory

A theory of personality organization and the dynamics of personality development that guides psychoanalysis, a clinical method for treating psychopathology, developed by Sigmund Freud.

Borderline Personality Disorder

A mental disorder characterized by unstable moods, behaviors, and relationships.