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4. Finding the optimal combination of two goods Neha enjoys consuming both guacamole and salsa. Each jar of guacamole costs Pa = $1, and each
4. Finding the optimal combination of two goods Neha enjoys consuming both guacamole and salsa. Each jar of guacamole costs Pa = $1, and each jar of salsa costs P3 = $2. Suppose that Neha buys 30 jars of guacamole and 20 jars of salsa per week. The following graphs show her marginal utility curves for guacamole and salsa. At her current consumption level, Neha's marginal utility from consuming the last jar of guacamole she bought is MUG = 12 utils perjar, and her marginal utility from consuming the last jar of salsa she bought is MUS = 12 utils perjar. 24 24 E, 20 20 a z: D. (U 3 16 I: 5 g 16 V a! \"J E- " 2 g 12 4 | 2 I 2 4 I I I o : : I I I o 10 20 30 4o 50 60 0 1o 20 30 4o 50 so GUACAMOLE (Jars) SALSA (Jars) Is Neha currently maximizing her utility? A No; she could buy more salsa and less guacamole, not spend any more money, and be better off. A No; she likes salsa and guacamole more than other goods, so she should buy more of both. A No; she could buy less salsa and more guacamole, not spend any more money, and be better off. A Yes; the marginal utility she receives from her last jar of guacamole equals that of her last jar of salsa. For each of the following combinations of guacamole and salsa, calculate the marginal utility per dollar from the last jar of guacamole and the last jar of salsa. Then, use the dropdown menus in the last column to indicate which of the combinations satisfy the condition for consumer equilibrium. Guacamole Salsa - - {Jars} \"\"6 (Jars) MUS . . . Combination Pa Ps Consumer Equilibrium? A 20 30 v B 40 20 v C 30 30 v D 50 40 v Suppose Neha has a "snack budget" of $130 per week, which she spends on guacamole and salsa. To maximize her utility, Neha will purchase jars of guacamole and jars of salsa per week
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