Explain the concept of consumer equilibrium

1. A.  Explain how one derives (gets) the indifference curves from a 3-dimensional utility function. Draw a graph and explain. Which principle explains the concave shape of the utility function? Why?

B. Explain the concept of Consumer Equilibrium.  How does it relate to utility maximization?  Draw a graph and show where consumer equilibrium occurs.  Write down the equation that holds at the consumer equilibrium.

C. Explain how one can derive (get) the Law of Demand from Consumer equilibrium.

D. Assume that there are 2 goods, X and Y and P(X) = \$20 and MU(X) = 100, and p(Y) = \$50.  Assuming that the consumer is currently maximizing her utility, compute MU(Y).

SHOW THE EQUATION YOU USE AND SHOW YOUR COMPUTATION.

2. A. Define and explain Short Run cost curves (TOTAL, AVERAGE AND MARGINAL COST CURVES).  DRAW GRAPHS AND LABEL EACH CURVE ON THE GRAPH. Explain the “law of diminishing returns”. State the economic reason behind it.

B. Explain the Long Run Average Total Cost curve. Explain the concepts of Economies of Scale; Constant Returns to scale; Diseconomies of scale. Draw a graph.

3. A. “The second hamburger tests as good as the first hamburger”. Which principle does this statement violate? WHY? Explain briefly.

B. “The more I eat, the hungrier I get”. Draw the Utility function for this statement. Which is the shape of the Utility Function in this case?

4. A. Explain why the Marginal Cost curve (MC) cut the Average Total Cost curve at the lowest (minimum) point. Use the example of GPA and Semester Average to explain it.

B. Draw the TC = TFC + TVC curves. Explain why the shape of the TC curve is concave first and becomes convexlater: STATE THE REASONS BEHIND THESE SHAPES. (Note: you need to state 2 reasons).

Basic features
• Free title page and bibliography
• Unlimited revisions
• Plagiarism-free guarantee
• Money-back guarantee
On-demand options
• Writer’s samples
• Part-by-part delivery
• Overnight delivery
• Copies of used sources
Paper format
• 275 words per page
• 12 pt Arial/Times New Roman
• Double line spacing
• Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

We value our customers, and so ensure that our papers are 100 percent original. Our Team of professionals does not miss the mark; they ensure that step by step each paper is written uniquely. We never duplicate or work as we compare papers rest assured. We deliver our work a day before time to ensure that you don’t miss your deadlines. It is not only doing the work but delivering it at the right time. We capture the consequences of late remittances. .

Zero-plagiarism guarantee

At popularessaywriters.com, our professional writers know the consequence plagiarism does for our clients. We have updated software’s such as article checker and copyscape to check for originality of the custom papers before submission of the final paper to the you. Our guarantee to the customer is that we will write 100% original papers for them that are quality, timely and of low cost. We have experienced professional and competent PhD writers who will write quality custom papers for you..

Free-revision policy

. At popularessaywriters.com, we are proud to provide top-quality Essay writing service to our esteemed customers. We are ready to take up that challenging academic assignment that is giving you sleepless nights and simplify it for you according to your desired requirements. We are willing to revise your paper if it does not meet your requirements. At popularessaywriters.com, we do not compromise with quality; thus, we offer unlimited free revisions until the customer is satisfied with their custom paper. Our unlimited free revision services are provided under the following terms:.. .

Popularessawriters.com knows that client’s information is an essential tool for our company. It means that whatever the client requests from our service is kept strictly confidential. It means that whoever writes for this company understands the terms and conditions hence you should not be worried because you will never see your work somewhere else...

Fair-cooperation guarantee

Rest assured that we will always be attentive to your needs and requirements. We belief in the phrase treat your neighbour as you would want them to treat you. We leave nothing to chance and always look forward to a good interaction with each other.. .

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
\$26
The price is based on these factors: