Suppose the price of is , the price of is , and that the consumer is currently spending all available income. At the consumer's current consumption basket the marginal utility of is 8 and the marginal utility of is 4 .
A) The consumer is currently maximizing utility.
B) The consumer could increase utility by consuming more of good and less of .
C) The consumer could increase utility by consuming more of good and less of .
D) Nothing can be said about the consumer's utility because we do not know the consumer's income or utility function.
Correct Answer:
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