Economists usually assume that individuals and firms,respectively,maximize
A)income and sales.
B)savings and profits.
C)wages and revenues.
D)utility and profits.
E)expenditures and profits.

Question

Quizplus · Accepted Answer

Economists assume that individuals maximize their utility, which is a measure of satisfaction or happiness derived from consuming goods and services. Firms, on the other hand, maximize their profits, which is the difference between their revenues and costs.

Economists Usually Assume That Individuals and Firms,respectively,maximize