GS/ECON 5010 3.0A
APPLIED MICROECONOMICS : MW section
Answers to Midterm Exam
Q1. (i) Give an example of preferences which are convex, but not strictly monotonic.
(ii) Give an example of preferences which are strictly monotonic but not convex.
A1. Of cour
GS/ECON 5010
Answers to Assignment 1
September 2005
Q1. Are the preferences represented by the following utility function strictly monotonic?
Convex?
u(x1 , x2 , x3 ) = ln (x21 + x22 + x23 )
In each case, explain briefly.
A1. In this case, it is most conv
GS/ECON 5010
Answers to Assignment 1
September 2007
Q1.
Are the preferences described below strictly monotonic? Convex? Explain briey.
There are two goods in the person's consumption bundle. In comparing any 2 bundles, x =
(x1 ; x2 ) and y = (y1 ; y2 ), s
GS/ECON 5010
Answers to Assignment 2
October 2007
Q1. Explain why the following three equations cannot be the Marshallian demand functions
of a consumer with wellbehaved preferences, even when p1 p3 .
x1 (p, y) =
x2 (p, y) =
x3 (p, y) =
y
2p1
p3 y
2p1 p2
GS/ECON 5010
Answers to Assignment 2
October 2004
1. Added to the original table of prices and quantities at each of the four times are the costs
ij
c
of the four preferred bundles in the four years. So, for example, the entry under c3j in the first
row i
GS/ECON 5010
Answers to Assignment 2
October 2008
Q1. Could the following 3 equations be Hicksian demand functions (if the reference level of
utility u were high enough so that u + ln p2 + ln p3 2 + 2 ln p1 )? Explain briefly.
x1 (p, u) = u 2 2 ln p1 + ln
GS/ECON 5010
Ansers to Assignment 2
W2005
Q1. The table below indicates the prices pt of three commodities, at 3 different times t, and
the consumption bundle xt actually chosen by the consumer at each of the three times.
What can be said about the consum
GS/ECON 5010
Answers to Assignment 1
September 2008
Q1. Are the preferences described below strictly monotonic? Convex? Explain briefly.
The two goods are avocado and bread. Each avocado has 2 grams of protein and 500 calories.
Each piece of bread has 1 g
GS/ECON 5010
Answers to Assignment 3
November 2006
Q1. What is the equation of the supply curve of a firm which has a total cost function with
the equation
T C(q) = (q 4)3 + 10q + 64
where q is the quantity of output produced by the firm?
A1. Given the to
GS/ECON 5010
Answers to Assignment 3
November 2007
Q1. What is the equation of the supply curve of a firm which has a total cost function with
the equation
T C(q) = (q 6)3 + 3q + 216
where q is the quantity of output produced by the firm?
A1. Given the to
GS/ECON 5010
Answers to Assignment 3
November 2004
Q1. Suppose that firms in a competitive industry were not identical. Instead, there is one
firm of each type. The cost function for a firm of type t is
T C(q; t) = tq + q 2
where q is the firms total prod
GS/ECON 5010
Answers to Assignment 4
November 2008
Q1. What does the contract curve look like for a 2person, 2good exchange economy, with a
total endowment of 60 units of good 1 and 29 units of good 2, if the preferences of the two people
could be represe
GS/ECON 5010
Answers to Assignment 4
November 2004
Q1. What does the contract curve look like for a 2person, 2good exchange economy, if each
person has the same preferences, represented by the utility function
u(xi1 , xi2 ) = ln xi2
1
xi1
where xij is pe
GS/ECON 5010
Answers to Assignment 4
March 2005
Q1. What does the contract curve look like for a 2person, 2good exchange economy, if the
preferences of the two people could be represented by the utility functions
u1 (x11 , x12 ) = 100
1
1
1
1
x1
x2
u2 (
YORK UNIVERSITY
Faculty of Graduate Studies
Final Examination
December 8, 2004
Economics 5010 AF3.0 : Applied Microeconomics
S. Bucovetsky
time=2.5 hours
Do any 6 of the following 10 questions. All count equally.
1. If a persons preferences can be represe
YORK UNIVERSITY
Faculty of Graduate Studies
Final Examination
December 14, 2007
Economics 5010 AF3.0 : Applied Microeconomics
S. Bucovetsky
time=2.5 hours
Do any 6 of the following 10 questions. All count equally.
1. If a persons preferences can be repres
YORK UNIVERSITY
Faculty of Graduate Studies
Final Examination
April 13, 2005
Economics 5010 MW3.0 : Applied Microeconomics
S. Bucovetsky
time=2.5 hours
Do any 6 of the following 10 questions. All count equally.
1. If a persons preferences can be represent
GS/ECON 5010
Answers to Assignment 3
November 2008
Q1. Find the profit function, supply function, and unconditional input demand functions for
a firm with a production function
f (x1 , x2 ) = 2 x1 + ln (x2 + 1)
(do not assume that w2 must be less than p,
GS/ECON 5010
Answers to Assignment 1
October 2004
1. (a) u(x1 , x2 ) = x1 + x1 x2
This is a differentiable function, and the partial derivatives are
u
= 1 + x2
x1
u
= x1
x2
so that the partial derivatives are positive whenever x > 0 (and nonnegative whene
GS/ECON 5010
section B
Answers to Assignment 1
F2012
Q1. Are the preferences described below transitive? Continuous? Strictly monotonic? Explain
briefly.
The person consumes 3 goods, white shirts (w), blue shirts (b), and green shirts (g). A bundle
A = (w
GS/ECON 5010
section B
Answers to Assignment 2
October 2012
Q1. Could the following 3 equations be Hicksian demand functions (if the reference level of
utility u were high enough that u > ln p1 ln p2 ln p3 )? Explain briefly.
x1 (p, u) = u ln p1 + ln p2 +
GS/ECON 5010
Answers to Assignment 4
December 2010
Q1. Suppose that the aggregate demand curve by men for some good has the equation
QM = 150 p
where QM is the aggregate quantity demanded by men, and p the price they pay. The aggregate
demand curve of wom
GS/ECON 5010
section B
Answers to Assignment 4
November 2012
Q1. What are the allocations in the core of the following 3person, 2good economy?
Each of the three people regards the two goods as perfect complements : her preferences
can be represented by th
GS/ECON 5010
section B
Answers to Assignment 3
November 2012
Q1. What is the profit function, and the longrun supply function, for a perfectly competitive
firm with a production function
f (x1 , x2 ) = ln x1 + ln x2 ln (x1 + x2 )
?
A1 If the firm minimize