Ask Question, Ask an Expert


Ask Microeconomics Expert

The U.S. government spends over $15.8 billion on its Food Stamp Program to help many needy Americans. The average food stamp benefit is about $170 per month. Assume that, in the absence of food stamps, the average consumer must divide $500 in monthly income between food and "all other goods" such that the following budget constraint holds: $500=$10A+$5F, where A is the quantity of "all other goods," and F is the quantity of food purchased. Using the vertical axis for "all other goods," draw the consumer's budget line in the absence of the Food Stamp Program. What is the market rate of substitution between food and "all other goods"? On the same graph, show how the Food Stamp Program alters the average consumer's budget line. Would this consumer benefit from illegally exchanging food stamps for cash?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M939822

Have any Question? 

Related Questions in Microeconomics

Discussion questionon the surface hinduism appears

Discussion Question On the surface, Hinduism appears radically different from Abrahamic religions like Islam and Judaism. However, Hindu teachings state that there is a single divine essence in the universe. Consider too ...

Assignmentwhat are the foundations of a comprehensive job

Assignment What are the foundations of a comprehensive Job Analysis? How do organizations utilize a Job Analysis Questionnaire? Does research support that a job analysis leads to an effective job description? Opine on ho ...

Principles of economicsas part of a marketing research

Principles of Economics As part of a marketing research committee for your organization, you have been assigned the task of preparing a 700-word research paper about current microeconomic thought and theory. Use Principl ...

Assignmentthe soft drink and juice beverage industry is

Assignment The soft drink and juice beverage industry is very competitive with more companies entering the market each year. This week our case study is the Dr Pepper Snapple Group, a major player in the industry. Your a ...

Project milestone guidelinesprompt for the first part of

Project Milestone Guidelines Prompt: For the first part of Milestone Two, you will analyze in detail the trade barriers in your selected international market that impact the industry you have selected. The second part of ...

Question 1nbspgiven the following chart answer the

Question 1  Given the following chart answer the questions below, assuming that all resources and technology are fixed for this farm. Corn(bu) Soybeans(bu) 20,000 0 16,000 5000 12,000 9000 8,000 12,000 4,000 14,000 0 15, ...

Question 1from an economic perspective returns on foreign

Question 1 From an economic perspective, returns on foreign investment are included in the overall measure of trade because financial investments: a) can also be thought of as payments made by the government. b) are a fo ...

Problem 1 -an economic forecasting organization has

PROBLEM 1 - An economic forecasting organization has developed a model they feel will help them better predict the market conditions than just overall sentiment.  Their proprietary model yields either Positive or Negativ ...

Assignmentprin mktg onlinesource ccmarketing 2012

Assignment PRIN MKTG ONLINE Source: CCMarketing (2012). PepsiAmericas A Bottler Wholesaler in the Pepsi Channel of Distribution. Essential of Marketing. McGraw Hill- Education. This video explains the channel of distribu ...

Assignmentconcepts you should knowa knowledge economyb

Assignment Concepts you should know: a. Knowledge economy b. Learning organisations c. Explicit and tacit knowledge d. Single-loop versus double-loop learning e. Pragmatism Discussion Questions: a. "Organization charts a ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate