Exhibit 5-7
-The market demand curve represents the utility maximization behavior of a typical consumer.

Question

Exhibit 5-7 
-The market demand curve represents the utility maximization behavior of a typical consumer.

Quizplus · Accepted Answer

The market demand curve represents the total quantity of a good that all consumers in a market are willing and able to purchase at various prices, not the utility maximization behavior of a typical consumer, which is represented by the consumer's demand curve based on their individual preferences and income.

Exhibit 5-7 -The Market Demand Curve Represents the Utility Maximization Behavior of Maximization