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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
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. 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) = MB) 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 U2 where u2(:z:) = a + u(:c) where a is any number. Does this change your answer to (a)? (c) (3 points) Suppose you changed the utility function 'u to a new function U2 where 11,3(36) = b - u2(zc) where b is any strictly positive number. Does this change your answer to (a)
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