We’re bringing back price theory with our series on Price Theory problems with Professor Bryan Cutsinger. You can see all of Cutsinger’s problems and solutions by subscribing to his EconLog RSS feed.
Share your proposed solutions in the Comments. Professor Cutsinger will be present in the comments for the next couple of weeks, and we’ll post his proposed solution shortly thereafter. May the graphs be ever in your favor, and long live price theory!
Question: Russ buys 5 sirloins per week. True or false: If the price of sirloin rises by $5 dollars apiece, and if Russ’ preferences and income remain constant, he will have $25 a week less to spend on other things.
