At a boundary choice:
A) the consumer purchases at least some of every good.
B) the consumer purchases no goods.
C) the consumer does not spend all of her income.
D) the consumer purchases some of at least one good but none of at least one other good.

Question

Quizplus · Accepted Answer

At a boundary choice, the consumer is faced with a trade-off between goods, and therefore may choose to purchase some of at least one good but none of at least one other good. Option D is the only choice that reflects this behavior. Option A is incorrect because the consumer may choose not to purchase some goods. Option B is incorrect because the consumer still has income to spend. Option C is incorrect because the consumer may choose to spend all their income.

At a Boundary Choice