Consider the previous case of varied gifts of foodstuffs in several shopping bags for needy persons (e.g. victims of floods or drought) donated by different households of a certain city:

1. What is the expected behavior as per marginal utility theory:
2. Under Marshallian approach
3. Under Hicks approach
4. Explain the relevance of the marginal utility theory in your decision making when preparing a budget for your household goods.
5. How realistic are the assumptions behind the theory of consumer behavior.
6. Suppose you are a manager of a supermarket, how would you apply the utility theory to strategically grow the business?
7. Derive a demand curve using budget line and indifference map.