How do consumers maximise total utility within their budget constraint?
A) By buying the cheapest goods they can find.
B) By buying whatever they like the best.
C) By buying the goods with the largest marginal utility per dollar spent.
D) By spending the same dollar amount for each good.
Correct Answer:
Verified
Q2: If, when you consume another piece of
Q3: Why do consumers have to make trade-offs
Q4: What is marginal utility?
A)Total satisfaction received from
Q7: Marginal utility can be
A)negative.
B)zero.
C)positive.
D)positive, negative, or zero.
Q8: If a consumer always buys goods rationally,
Q10: If a consumer receives 20 units of
Q13: An item has utility for a consumer
Q18: If total utility increases at a decreasing
Q18: If, as a person consumes more and
Q19: Which of the following is likely to
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