Question

In: Economics

Gilberto enjoys buying shoes. The following table contains information on Gilberto's utility from shoes each month....


Gilberto enjoys buying shoes. The following table contains information on Gilberto's utility from shoes each month. 

Fill in the two missing cells of the table.

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On the following graph, use the purple points (diamonds symbol) to plot Gilberto's total utility (TU) curve if he consumes zero, one, two, three, four, five, or six pairs of shoes per month 

Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically 

image.png

On the following graph, use the blue points (circle symbol) to plot Gilberto's marginal utility (MU) curve from consuming his first six pairs of shoes. 

image.png

For Gilberto, increasing his consumption of shoes results in _______ marginal utility.



Solutions

Expert Solution

Shoes TU MU
0 0
1 12 12
2 22 10
3 30 8
4 36 6
5 40 4
6 42 2

Blank - decreasing


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