To remain in consumer optimum
A) a price increase requires an increase in consumption.
B) a price decrease requires an increase in consumption.
C) a price decrease requires a decrease in consumption.
D) prices must remain static.

Question

Quizplus · Accepted Answer

A price decrease generally leads to an increase in consumption due to the law of demand, which states that, ceteris paribus, as the price of a good decreases, the quantity demanded of that good increases.

To Remain in Consumer Optimum