This statement is not necessarily true.If she is always willing to trade 4 because she will always gain the same satisfiction frommovie ticke ets a she does from 1 basketball ticket.However,it could be that she has convex preferences (diminishing marginal rate of substitution)and is at a bundle where she has a lot of movie tickets relative to basketball tickets. This would make her willing to give up more movie tickets to get another basketball ticket. It would not mean thoug she liked basketball better.Her willingness to give up a good would in this case depend on the quantity ofeach good in her current basket. 4.Janelle and Brian each plan to spend $20.000 on the stvling and gas mileage features of a new car.They can each choose all styling.all gas mileage,or some combination of the two.Janelle does not care at all about styling and wants the best gas mileage possible.Brian likes both qually and nta nd an amount on the e two features. Using indifference curves and budget lines illustrate the choice that each person will make. Assume styling is on the vertical axis and gas mileage is on the horizontal axis.Janelle has indifference curves that are vertical.If the styling is there she will take it.but she otherwise does not care about it.As her indifference curves move over to the right,she gains more gas mileage and more satisfaction.She will spend all $20.000 on gas mileage.Brian ha indifference curves that are L-shaped.He will not spend more on one feature than on the other feature.He will spend $10,000 on styling and $10.000 on gas mileage. Suppose that Bridget and Erin spend their incom on two goods,food(间 and clothing (C). Bridget's preferences are represented by the utility function U(FC)=10FC,while Erin's preferences are represented by the utility function UF,C)=.20F2C2 On a graph,with food on the horizontal axis and clothing on the vertical axis,identify the set of points that give Bridget the same level ofutility as the bundle(10,5).Do the same for Erin on a separate graph Bridget receives a utility of 10*10*5=500 from this bundle indifference curve is represented by the equation 10FC=500 or FC-50 Some bundles on this indifference curve are (5,10),(10,5)(25,2),and (2,25). Erin receives a utility of.2*10*10*5*5=500 from the bundle (10,5).Her 50=FC This is the curve as Bridget. indifference curves have the normal,convex shape On the same two graphs,identify the set of bundles that give Bridget and Erin the same level of utility as the bundle (15.8). This statement is not necessarily true. If she is always willing to trade 4 movie tickets for 1 basketball ticket then yes she likes basketball better because she will always gain the same satisfaction from 4 movie tickets as she does from 1 basketball ticket. However, it could be that she has convex preferences (diminishing marginal rate of substitution) and is at a bundle where she has a lot of movie tickets relative to basketball tickets. This would make her willing to give up more movie tickets to get another basketball ticket. It would not mean though that she liked basketball better. Her willingness to give up a good would in this case depend on the quantity of each good in her current basket. 4. Janelle and Brian each plan to spend $20,000 on the styling and gas mileage features of a new car. They can each choose all styling, all gas mileage, or some combination of the two. Janelle does not care at all about styling and wants the best gas mileage possible. Brian likes both equally and wants to spend an equal amount on the two features. Using indifference curves and budget lines, illustrate the choice that each person will make. Assume styling is on the vertical axis and gas mileage is on the horizontal axis. Janelle has indifference curves that are vertical. If the styling is there she will take it, but she otherwise does not care about it. As her indifference curves move over to the right, she gains more gas mileage and more satisfaction. She will spend all $20,000 on gas mileage. Brian has indifference curves that are L-shaped. He will not spend more on one feature than on the other feature. He will spend $10,000 on styling and $10,000 on gas mileage. 5. Suppose that Bridget and Erin spend their income on two goods, food (F) and clothing (C). Bridget’s preferences are represented by the utility function  U(F,C) = 10FC , while Erin’s preferences are represented by the utility function  U(F,C) = .20F 2C 2 . a. On a graph, with food on the horizontal axis and clothing on the vertical axis, identify the set of points that give Bridget the same level of utility as the bundle (10,5). Do the same for Erin on a separate graph. Bridget receives a utility of 10*10*5=500 from this bundle. The indifference curve is represented by the equation 10FC=500 or FC=50. Some bundles on this indifference curve are (5,10), (10,5), (25,2), and (2,25). Erin receives a utility of .2*10*10*5*5=500 from the bundle (10,5). Her indifference curve is represented by the equation  500 = .2F 2C 2 , or 50=FC. This is the same indifference curve as Bridget. Both indifference curves have the normal, convex shape. b. On the same two graphs, identify the set of bundles that give Bridget and Erin the same level of utility as the bundle (15,8)