Question

If Billy's willingness to pay for one snowboard is $250 and his willingness to pay for a second snowboard is $400, how many snowboards would he buy if the market price of snowboards is $500?

Answer 1

Answer:

Billy will be Zero (0) snowboard

Explanation:

Billy won't be buying any snowboard because Billy's willingness to pay for one snowboard is $250 and for a second snowboard is $400, both of which are under the prevailing market price of $500. If Billy wants to get the snowboard, he must be willing to pay the market price if $500. With him not willing to pay that amount, Billy would not buy any snowboard.