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

question 7

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 $19 and was paying a price of $5 for earrings when the price of earrings went up to $11, then the equivalent variation of the price change was

• A)$19.
• B)$38.
• C)$9.50.
• D)$4.75.
• E)$14.25.

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Definitions:

Wagner Act

Also known as the National Labor Relations Act of 1935, it established the legal right for workers to join unions and engage in collective bargaining in the US.

NIRA

The National Industrial Recovery Act of 1933, a U.S. law aimed at boosting economic recovery, reducing unemployment, and promoting industrial growth during the Great Depression.

Unionization Rights

Legal rights and protections that allow workers to form, join, or assist a union without fear of discrimination or retribution.

Wagner Act

United States legislation officially known as the National Labor Relations Act of 1935, which established the rights of employees to engage in collective bargaining and to form and join labor unions.