Budget constraint
Consumer: chooses the best bundle of
good they can afford
can afford budget constraint
best preferences
Consumption bundle (x1,x2)
Prices (p1,p2)
Money the consumer has to spend
(income) m
Budget constraint
Amount spent <= income
Budget
Answer key ECON 201
Final exam Summer 2015
Question 1
a.
Set of Pareto efficient allocation is defined by the contract curve.
(1 pt)
Contract curve is where each individuals MRS are equal to each other.
Note that MRSt = -(Ht/Gt) and MRSm = -(Hm/2Gm).
(1 p
Simon Fraser University, Department of Economics, Econ 301, Prof. Karaivanov
FINAL EXAM Answer Key
(April 16, 2012)
This is a closed book examination. To get full credit you need to answer ALL questions. Please
put the number of your tutorial section on y
Introduction
Microeconomic Principles (ECON201)
Dr. Fernando Aragon
Summer 2013
These notes aim to provide you with a brief introduction to the subject of economics
as a science, the way in which economists think and analyze the world, as well as give
you
25/7/2014
Quiz: Week 13 quiz
Week 13 quiz
1. In perfectly competitive markets:
A. price is always greater than marginal revenue.
B. price equals marginal revenue only at the profit-maximizing quantity.
C. price equals marginal revenue at all quantities.
D
Econ 201 - Fall 2016 - Assignment 1
Shora Ebrahimi
Due: Tuesday October 4, At the Beginning of Class
For each problem, you should explain how you obtained your answer. This will help
us determine your understanding of the problem whether or not you got th
1. Which of the following is a key assumption of the supply and demand model?
A. to focus on how the price and quantity sold are determined in a single market
B. to focus on how the prices and quantities sold are simultaneously determined in all markets
C
1. Figure 3.1
At a market price of $4, what is total consumer surplus?
A. $120
B. $320
C. $160
D. $80
2. Figure 3.4
The outward shift of the supply curve will cause consumer surplus to increase from area(s) _ to
area(s) _.
A. A + B; C + D
B. A + B + C + D
2. If good X is measured on the horizontal axis and good Y is measured on the vertical axis; and if
bundles A and B lie on the same indifference curve; and if bundle A contains less of good X than
bundle B, then:
A. the marginal rate of substitution is hi
1. Figure 3.14
Which of the following statements is TRUE?
I. The price sellers receive (after paying the tax to the government) is $250.
II. With the tax, consumers pay $315 per snow blower.
III. The government collects $200,000 in tax revenue.
A. I and I
1. Nancy sells beeswax in a perfectly competitive market for $50 per pound. Her fixed costs are $15, and she is capable
of producing up to 6 pounds of beeswax each year. Use that information to fill in the table below and then answer
the following questio
1. A consumer spends his limited income on three goods such that the MUX = 4, MUY = 4, MUZ =
4, and PX = 4, PY = 2, PZ = 1. Which of the following statements is TRUE?
I.
Because the marginal utilities of all three goods are equal,
the consumer is maximizi
1. Market power arises from:
A.
the entry of new firms in an industry in which the firms are earning large producer
surplus.
B. barriers to entry.
C. diseconomies of scale.
D. diminishing marginal returns.
2. Suppose that each firm that operates in an ind
1. The difference between economic cost and accounting cost is that:
A. accounting cost considers both revenue and cost, while economic cost is only focused on cost.
B. economic cost includes opportunity cost, while accounting cost does not.
C. economic c
ECON 201 (Fall 2014)
Department of Economics, SFU
Prof. Christoph Llfesmann
u
Assignment # 3
Note: Part II of LP 1 will not be tested on the Final - I dont expect you to
compute cost functions with all factors variable (unless those weve discussed
in clas
ECON 201 (Fall 2014)
Department of Economics, SFU
Prof. Christoph Llfesmann
u
Solutions to Assignment #2
(My answers are often more detailed than required in an exam).
I. Short Problems
1. The consumers reservation price for a good 1, is the highest price
ECON 201/301, (Fall 2012)
Department of Economics, SFU
Prof. Christoph Llfesmann
u
Midterm # 1
Please solve ALL of the problems below. Let all consumption choices be
continuous.
I. Short Problems - Explain! No credit will be given without a
justication of
ECON 201 (Fall 2016)
Department of Economics, SFU
Prof. Christoph L
ulfesmann
Assignment # 2
I. Short Problems - Explain! No credit will be given without a
justification of your answer. (8 pts each)
1. What is a reservation price ? Explain precisely. (In
Econ 201 - Fall 2016 - Assignment 4
Shora Ebrahimi
Due: Thursday December 1, At the Beginning of Class
For each problem, you should explain how you obtained your answer. This will help
us determine your understanding of the problem whether or not you got
Prof. Christoph Luelfesmann
Department of Economics
Simon Fraser University
Web page: www.sfu.ca/ cluelfes
ECON 201: Intermediate Microeconomics I
(Fall 2016)
Overview
This course is designed to provide an understanding of microeconomic theory at the inte
ECON 201, (Fall 2016)
Department of Economics, SFU
Prof. Christoph L
ulfesmann
Solutions to Assignment #1
I. Short Problems
1. This statement is false. Tangency means that indierence curve and
budget line have the same slope at the optimal point. This is
ECON 201/301, (Fall 2012)
Department of Economics, SFU
Prof. Christoph L
ulfesmann
Midterm # 1
Please solve ALL of the problems below. Let all consumption choices be
continuous.
I. Short Problems - Explain! No credit will be given without a
justification
ECON 301, (Fall 2010)
Department of Economics, SFU
Prof. Christoph L
ulfesmann
Rules of Differentiation
1. Constant function rule
Consider the function f (x) = k, where k is a constant number.
The derivative is df (x)/dx = 0.
2. Power function rule.
Let f
Chapter 2 The Budget Constraint
Econ 201 Intermediate Microeconomics
Shora Ebrahimi
shorae@sfu.ca
Consumption Choice Sets
A consumption choice set is the
collection of all consumption choices
available to the consumer.
What constrains consumption choice
Tutorials- Chapter 7
1. Suppose a firm produces a product with 2 inputs z1 and z2 and the price of inputs are w1 and
w2 respectively. The firms production function is given by
y = f (z1, z2) = z11/4 z23/4
a. Find the conditional demand functions for input
ECON 201 (Fall 2014)
Department of Economics, SFU
Prof. Christoph Llfesmann
u
Solutions to Assignment #3
(My suggested solution is more detailed than required in an exam).
I. Short Problems
1. The rst of these statements is false, the second statement is
ECON 201 (Fall 2015)
Department of Economics, SFU
Prof. Christoph L
ulfesmann
Final Exam
Please solve ALL of the problems below.
I. Short Problems - Explain! No credit will be given without a justification of
your answer. (8 pts each)
1. A rm is described
ECON 201/301 (Spring 2013)
Department of Economics, SFU
Prof. Christoph Llfesmann
u
Final Exam
Please solve ALL of the problems below.
I. Short Problems - Explain! No credit will be given without a justication of
your answer. (8 pts each)
1. When are cons
ECON 201 (Fall 2014)
Department of Economics, SFU
Prof. Christoph Llfesmann
u
Assignment # 1
Note: The format of the midterm will be similar (with short and long problems).
I. Short Problems - Explain! No credit will be given without a
justication of your
ECON 355W
SFU, Department of Economics
Spring 2017
Prof. Chris Bidner
ASSIGNMENT 1
Due: Week 3, Start of Tutorial
Length: 800 words
Notes
Please attach the supplied coversheet to your work, including your name,
student number, and tutorial details.
You ca
ECON 355W
SFU, Department of Economics
Spring 2017
Prof. Chris Bidner
ASSIGNMENT 2
Due: Week 5, Start of Tutorial
Length: 800 words
Notes
Please attach the supplied coversheet to your work, including your name,
student number, and tutorial details.
You ca
Simon Fraser University
Economics 802 - Fall 2014
Assignment #3
Due Friday, Oct. 3 in class
1. Do exercises 1.30, 1.36 and 1.40 from the Jehle-Reny book.
2. Prove that, under the conditions of Theorem 6 from class, for any two price vectors, p1
and p2 in
Simon Fraser University
Economics 802 cfw_ Fall 2014 cfw_ Prof. Karaivanov
Assignment #1
Due Friday, Sep. 19 in class
This is very basic material so please do not skip steps in your proofs and be as
clear as you can.
1. Consider the following sets: A
f(x1
Simon Fraser University
Economics 802 - Fall 2014
Assignment #2
Due Friday, Sep. 26 in class
1. Do exercises 1.13 and 1.21 from the Jehle-Reny book.
2. Which of the following are positive monotone
p transformations of the utility function
1
u(x)? (i) v(x)