John is maximizing utility by choosing to spend 90 minutes reading a chapter in The Theory of Moral Sentiments, which will give him 450 units of utility, instead of spending 20 minutes reading a chapter of Atlas Shrugged, which will give him 200 units of utility. (Assume marginal utility decreases slowly.)

Question

Quizplus · Accepted Answer

John is not maximizing utility because the utility per minute for reading Atlas Shrugged (10 units/minute) is higher than for The Theory of Moral Sentiments (5 units/minute).

John Is Maximizing Utility by Choosing to Spend 90 Minutes