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If the Consumer Is Willing to Give Up 3 Units

Question 39

Multiple Choice

If the consumer is willing to give up 3 units of food (vertical axis) in exchange for one unit of shelter (horizontal axis) and food is priced at 10 and shelter at 20, then the consumer is


A) Purchasing too much food for utility maximization
B) Purchasing too much shelter for utility maximization
C) Purchasing just the right amount of each good for utility maximization
D) Purchasing less than the budget would allow

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