Which of the following is true regarding a budget constraint?
A) The budget constraint indicates that consumers desire more income.
B) The budget constraint indicates that there are limits on the consumption possibilities for a consumer.
C) The budget constraint is based on some, but not all of the prices for goods that consumers may want to buy.
D) All of the above statements describe the budget constraint.
Correct Answer:
Verified
Q51: A consumer's spending is restricted because of:
A)
Q52: Economists assume that consumers behave in a
Q53: Utility is maximized in the consumption of
Q54: If a consumer purchases a combination of
Q55: Which of the following statements is (are)
Q57: Which of the following is (are) true?
A)
Q58: The utility-maximization condition for two goods is
Q59: If a consumer purchases a combination of
Q60: If a consumer purchases a combination of
Q61: Utility maximization for all goods requires that:
A)
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