Indifference curve/graph - Explain an indifference curve in everyday language. Graphically show and briefly explain how someone would determine their optimal consumption.

Indifference curve and budget equation - The task is to use indifference curves and budget constraints to determine which of these two programs to chose. You are to assume that income is equal to $400 per month to spend on long-distance phone service and all other good (D) and that the utility function is U=mD. For each program, calculate the values of m and D that maximize utility. Determine and ...

Budget Constraint - Larry lives with his parents and enjoys listening to jazz. Because of his living arrangements, his only expense is on jazz music. To earn money to buy new albums, Larry must work. Larry has 16 hours per day he could spend listening to jazz or working. Each hour he works he earns $6. Each album costs him $12. Diagram Larry's budget constaint for new jazz albums and time sp...

Slope of Budget Line - The Price of Good X is $5, Good Y is $8. Money Income is $240- a)What is the Slope of Budget Line? b)When consumer is maximizing utility, what is the marginal rate of Substitution equal to? c)When the consumer is maximizing utility, how much they are spending? d) what is the demand curve, when good is giffen?

A question about profits... - Why if farmers make zero economic profit, are they still able to be farmers?