Economics: Principles, Problems, and Policies, 19th Edition

Published by McGraw-Hill Education
ISBN 10: 0073511447
ISBN 13: 978-0-07351-144-3

Chapter 1 - Limits, Alternatives, and Choices - Problems - Page 20: 1

Answer

If Janice has five dollars to spend on potatoes or other items, she would most likely only spend about three dollars to receive three pounds. If Janice only had two dollars, she would spend both of those dollars on two pounds of potatoes.

Work Step by Step

Janice would only buy three pounds of potatoes if she had five dollars because only the first three pounds of potatoes are worth more than a dollar. When the pounds of potatoes are only worth thirty cents to Janice, she would not spend a dollar on those potatoes. When she has two dollars she would spend all of the money on potatoes because both the first and second pounds are worth more than a dollar to Janice.
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