Robinson Crusoe Has Exactly 12 Hours Per Day to Spend

question 20

Multiple Choice

Robinson Crusoe has exactly 12 hours per day to spend gathering coconuts or catching fish.He can catch 2 fish per hour or he can pick 4 coconuts per hour.His utility function is U(F, C) = FC, where F is his consumption of fish and C is his consumption of coconuts.If he allocates his time in the best possible way between catching fish and picking coconuts, his consumption will be the same as it would be if he could buy fish and coconuts in a competitive market where the price of coconuts is $1, his income is

• A)$48 and the price of fish is $2.
• B)$48 and the price of fish is $.50.
• C)$24 and the price of fish is $2.
• D)$72 and the price of fish is $2.
• E)$36 and the price of fish is $.50.

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Definitions:

Particular Organization

A specific entity or group organized for a certain purpose or activity.

Subcultural Groupings

Clusters within a larger culture that have their own distinct values, behaviors, and beliefs, often based on common interests or identities.

Broader Cultural Changes

Significant transformations in the values, norms, and practices of a society that affect multiple facets of life and institutions.

Larger Society

Refers to the extensive social environment that encompasses various cultures, institutions, and patterns beyond smaller social units.