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2. (5 points) Suppose I told you than an individual was indifferent between a hamburger and two packages of potato chips. Furthermore, suppose I also

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2. (5 points) Suppose I told you than an individual was indifferent between a hamburger and two packages of potato chips. Furthermore, suppose I also told you that there were indifferent between a package of potato chips and 30 candies. What is the \"willingness to pay\" for a hamburger in terms of candy? Explain your answer. [P3 ?,o C [7'0 C, 3. Continuing from the above question, suppose I have a set of outcomes {A, B, C, ...} (for example, A might represent $10,000, while B might represent a new car) and you placed the same utility on each of them (i.e. MA) : u(B) etc.) (a) (2 points) What does this imply about the willingess to pay for one outcome in terms of above? (i.e. how much B would you be willing to pay for A)? (b) (3 points) Suppose you changed the utility function u to a new function 11.2 where u2(x) = a + u(:1:) where a is any number. Does this change your answer to (a)? A (c) (3 points) Suppose you changed the utility function u to a new function 11.2 where ; u3(x) : b - u2(:1;) where b is any strictly positive number. Does this change your V answer to (a)

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