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If the price of Kewpie dolls rose to $9.00 per doll, how many dolls would Lucinda buy if she is rational?

1. 3 dolls
2. 1 doll
3. 4 dolls
4. 2 dolls

User Khanna
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1 Answer

4 votes

Final answer:

The question about Lucinda's doll purchasing cannot be answered due to insufficient information. However, similar scenarios with Jade show calculations for budget constraints, maximum items purchasable, and opportunity costs within a budget.

Step-by-step explanation:

The provided information does not contain sufficient details to determine how many Kewpies dolls Lucinda would buy at a price of $9.00 per doll, as Lucinda's preferences, budget, and the specific utility she receives from purchasing dolls have not been mentioned.

However, using the example of Jade with a budget of $24, we can analyze similar scenarios: Jade could buy a maximum of 6 magazines at $4 each (24/4), or 2 pies at $12 each (24/12). Jade's budget constraint would be a straight line in a graph with pies on the horizontal axis and magazines on the vertical axis, with a slope of -1/3, since each pie forgone allows her to buy 3 more magazines. Jade's opportunity cost of buying a pie is thus the 3 magazines she has to give up.

Without comparable information for Lucinda, we cannot answer how many Kewpies dolls she would purchase at $9.00 each. For a rational consumer, the decision would be based on maximizing utility within their budget constraints, but specific numerical answers require more details.

User Exbi
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