Chapter 1. WIO_Krugman_Chapter10

Introduction

Work It Out
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You must read each slide, and complete any questions on the slide, in sequence.

Brenda likes to have bagels and coffee for breakfast. The accompanying table shows Brenda’s total utility from various consumption bundles of bagels and coffee.

Consumption Bundle
Quantity of Bagels Quantity of Coffee (cups) Total utility (utils)
0 0 0
0 2 28
Table : Table Caption

Suppose Brenda knows she will consume 2 cups of coffee for sure. However, she can choose to consume different quantities of bagels: she can choose either: 0, 1, 2, 3, or 4 bagels.

Question

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Question

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Question

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_feedback: Many poisonous plants have bitter tastes. Those who ate them often died before reproducing. Babies scrunch up their faces in disgust when bitter tastes are placed on their tongues. Babies like sweets. All humans are born with a preference for sweet and salty tastes. Those who built up stores of fat survived during famines.