If Bernice (Whose Utility Function Is Min{x, Y}, Where X

question 23

Multiple Choice

If Bernice (whose utility function is min{x, y}, where x is her consumption of earrings and y is money left for other stuff) had an income of $20 and was paying a price of $1 for earrings when the price of earrings went up to $6, then the equivalent variation of the price change was

• A)$50.
• B)$14.29.
• C)$7.14.
• D)$100.
• E)$32.14.

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Definitions:

Pseudogymnoascus Destructans

A fungal pathogen known for causing White-nose syndrome, a deadly disease affecting hibernating bats.

Penicilium Chrysogenum

A species of fungus used in the production of the antibiotic penicillin.

Diverse Group

A category consisting of varying elements, individuals, or entities, characterized by differences in attributes such as appearance, behavior, or function.

Sac Fungi

A division of fungi, also known as Ascomycota, characterized by the production of spores in special sacs called asci.