Utility Maximization Activity

- PDF (8 pages)

Also included in
- Are you an economics teacher looking for that perfect way to teach the theory of consumer choice? Are you a new teacher who needs great activities? Do you need to update your activities, but don't have the time? Are you looking for "state of the art", innovative, and engaging activities to help yo$8.99$12.00Save $3.01
- IT'S FINALLY HERE!Every single activity that you need to teach an entire Microeconomics course offered in a single bundle! There's nothing better out there. We guarantee it!Are you looking to add state of the art, engaging, and impactful activities and PowerPoints to your classroom arsenal, but don$99.99$169.00Save $69.01
- THIS IS THE ONE YOU'VE BEEN LOOKING FOR!84 Activities. 12 Units of study. Micro and Macro. Every activity that you need to teach an entire full year Economics course offered in a single bundle! There's nothing better out there. We guarantee it!Are you looking to add state of the art, engaging, a$159.99$303.00Save $143.01
Description
Are you looking for an engaging lesson that gives your students an opportunity to evaluate how consumers make purchases with an income constraint? Do you need an activity that provides your students an opportunity to put principles into practice by calculating the marginal utility per dollar of two goods and determining the utility maximizing combination of goods to buy? This is the activity you've been looking for!
This activity includes:
1) This "Utility Maximization" Activity includes 2 parts. It begins with a detailed flowchart and synopsis of the process by which consumers choose the utility maximizing combination of goods when faced with an income constraint. Using examples provided, students will be taken through the steps to calculating the marginal utility per dollar for every unit of a good and then evaluate how to spend a limited income to maximize utility. Next, students will have the opportunity to put principles in practice and make the utility maximizing decisions themselves. Using 6 separate examples, students will analyze the marginal utility for each unit of two separate goods and use the price of the products and their marginal utility to calculate the marginal utility per dollar per unit. Then, students will decide, one by one, how many units of each good should be purchased until all disposable income is spent and utility has been maximized. Students will have to critically think to answer questions as to how consumer decision-making and purchases will change if product prices and income level change.
This activity can be used in many different ways in the classroom. Students can work independently, in pairs or this activity can be used as a jigsaw in order to facilitate a class wide discussion about the topics discussed in the activity.
2) A detailed answer key to the lesson activity to save you time and help guide student comprehension.
This activity can also be found in a bundle paired with a PowerPoint, Keynote and PDF version of a fully customizable lecture found here:
If you like this activity, check out our Unit Activity Bundle that includes activities for all of the objectives in this unit.
Theory of Consumer Choice Unit Activity Bundle
Best of all, this activity aligns to our "Unit 2.2 - Utility Maximization" video lecture, which can be found here:
COMING SOON
For more of our video lectures, check out our "You/Will/Love Economics" YouTube channel and subscribe for upcoming videos:
You Will Love Economics on YouTube
If you like the content of our store please head over to our Facebook page to like and follow us for updates on upcoming products and chances at free give aways!
You Will Love History Facebook Page
You can also visit our shop right here on TPT and purchase Activities, Objective Bundles, Unit Bundles, Semester Bundles, and our Course Bundle, all of which align to our video lecture collection on YouTube!
Flip your classroom and the way your students learn economics TODAY!