The following table is for questions 11-18 Amount of TU Com 0 0 100 2 180 3 240 4 295 5 345 6 385 MU MU/P-510 MU/P-55 Amount of TU MU MU/PISS GO122 Guns 0 45 80 3 105 4 S 125 130 111 if the consumer has 530 to spend, and the price of corn is 510, and price of guns is 55, what combination would be bought? 12] What is the total utility of this combination? 14] 15] 16] If the price of com decreases to $5, what is the new combination bought? Draw this person's demand for corn and put points on the demand for the prices of 510 and 55 When the price of com when down, did the demand for com increase? Look what happened in the gun market; the price stayed the same at 55, but the amount bought changed. Draw that on a graph. Did the demand for guns change? Total Utility (TU) Marginal Utility (MU) 45 Amount of TU MU MU/P-$10 MU/P-$5 Corn 0 0 1 100 2 180 3 240 4 295 5 345 6 385 Amount of TU MU MU/P-$5 Guns 0 0 1 45 2 80 3 105 125 130 ha cant chand and the price of corn is $10, and price of guns is $5, what 11] If the consumer has $30 to spend, and the price of corn is $10, and price of guns is $5, what combination would be bought? If the price of corn decreases to $5, what is the new combination bought? 12] What is the total utility of this combination? 13] 14] 15] 16] Draw this person's demand for corn and put points on the demand for the prices of $10 and $5. When the price of corn when down, did the demand for corn increase? Look what happened in the gun market; the price stayed the same at $5, but the amount bought changed. Draw that on a graph. Did the demand for guns change? 17] goods? 18] go In this situation, would you say that corn and guns are substitute goods or complementary Suppose this person starts to like corn less for some reason, the utility numbers for corn would If that makes this person buy less corn even though the price of corn has not changed, we for corn has changed. would say the 161 If the price of a good goes down and people buy more of it, we say the of that item has changed. 20] If the price of Pepsi goes down and that makes people buy less Coke, we say the for Coke has changed. In this case, Pepsi and Coke are 21] goods. If income goes up and people start to buy more of a product even though the prices have not changed, we say that the for that product has changed. In this case, the would the product be a normal or inferior good? 22] The MU/P equalization principle occurs because if something a person is buying starts to bring more MU/P, the person would start to buy of that item. When that happens, the MU/P until it falls back into line with the rest. of that item would