Astrids Utility Function Is U(H A, C A)= H a C

question 37

Multiple Choice

Astrids utility function is U(H A, C A) = H A C A.Birgers utility function is min{H B, C B}.If Astrids initial endowment is no cheese and 11 units of herring and if Birgers initial endowments are 4 units of cheese and no herring, then where p is a competitive equilibrium price of herring and cheese is the numeraire, it must be that demand equals supply in the herring market.This implies that

• A)4/(p + 1)+ 6 = 12.
• B)4/12 = p.
• C)412/4 = p.
• D)4/p + 12/2p = 12.
• E)min{12, 4} = p.

---

Definitions:

Physical Activities

Any bodily movement produced by skeletal muscles that requires energy expenditure, promoting physical fitness and health.

Skeletal Changes

Alterations that occur in the skeletal system due to factors such as aging, disease, nutrition, or injury.

Kohlberg

Refers to Lawrence Kohlberg, an American psychologist best known for his theory of stages of moral development.

Moral Development

The method by which people form suitable perceptions and actions towards others in society, grounded on the social and cultural standards, regulations, and legislation.