Econ 215 Sec B Problem Set 1
Due in Class Thursday, Feb. 4
QUESTION 1:
Consider a person who is choosing between two goods, shoes (S) and books (B). The utility
function for the person is given as:
U tility = S 0.5 B 0.1
i:
At S = 50, B = 60, what will he
Chapter3 Definitions
Factors of Production inputs into the production process
Productivity the effectiveness with which the inputs are used
Production function is a mathematical way of representing how much output can be produced
Marginal product of capit
Problem Set 8
Econ 251: Intermediate Microeconomics
Professor Castilla
Due date:
Problem 1:
Assume Procter and Gamble (P&G) can produce soaps in two different fragrances using: almond oil (1 )
or shae butter (2 ). P&G can use 2 fl oz of almond oil or 3 oz
Problem Set 7
Econ 251: Intermediate Microeconomics
Professor Castilla
Due date:
Problem 1:
All the workers in a factory have the same utility function (1, 2 ) = (1 ) + 2 , earn the same
income m, and face prices 1 and 2 .
a)
Write down the representative
Problem Set 4
Econ 251: Intermediate Microeconomics
Professor Castilla
Due date: Monday, Feb 17th at the beginning of class.
Problem 1: Axioms of Preferences
Suppose an instructor likes his students to ask questions in class, show up on time and get high
Problem Set 3
Econ 251: Intermediate Microeconomics
Professor Castilla
Due Date:
Problem 1:
There are 100 consumers in the economy. Half of them belong to tribe A and demand oranges according
to the individual inverse demand curve () = 10 2 . The other ha
Problem Set 6
Econ 251: Intermediate Microeconomics
Professor Castilla
Due date: Monday, March 10th at the beginning of class.
Problem 1:
Assume the representative consumer has the following utility function:
(
(a)
)
Write down the consumers utility maxim
Problem Set 2
Econ 251: Intermediate Microeconomics
Professor Castilla
Due Date:
Problem 1:
Suppose that the aggregate demand and aggregate supply for textbooks are described by the following
functions:
= 650 15
= 150 + 10
a)
What is the equilibrium pr
Problem Set 5
Econ 251: Intermediate Microeconomics
Professor Castilla
Due date: Monday, March 3rd at the beginning of class.
Problem 1:
Mickey has a utility function given by (
)
and Minnie has a utility function
. Do (
(
)
) and (
) represent the same p
Problem Set 1
Econ 251: Intermediate Microeconomics
Professor Castilla
Due Date:
Find the partial derivatives with respect to
functions.
1.
2.
3.
(
(
)
(
)
(
)
(
)
(
)
(
)
(
)
(
)
( )
4.
5.
)
(
(
)
)
and
separately for each of the following
(
6.
7.
8.
9.
Chapter 2 Definitions
GDP (gross domestic product) is the market value of final goods and services newly produced within a
nation during a fixed period of time
Consumption is spending by domestic households on final goods and services
Investment is spendi