A consumer spends her entire income purchasing two goods: good A and good B. The maginalanily of de last unit of good A purchased is 600, and the price of good A is $20. The marginal uiliy of telet mief good B purchased is 45, and the price of good B is Sl.50. To maximize utiliy, the consumer should O purchase more of good A and less of good B O purchase more of good B and less of g0od A maintain the cuITent combination of goods A and B O purchase more of both goods O purchase less of both goods
A consumer spends her entire income purchasing two goods: good A and good B. The maginalanily of de last unit of good A purchased is 600, and the price of good A is $20. The marginal uiliy of telet mief good B purchased is 45, and the price of good B is Sl.50. To maximize utiliy, the consumer should O purchase more of good A and less of good B O purchase more of good B and less of g0od A maintain the cuITent combination of goods A and B O purchase more of both goods O purchase less of both goods
Microeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter7: Consumer Choice And Elasticity
Section: Chapter Questions
Problem 4CQ
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Q38
![A consumer spends her entire income purchasing two goods: good A and good B. The marginal mily of de
last unit of good A purchased is 600, and the price of good A is S.20. The maginal utilty of de lst mn ef
good B purchased is 45, and the price of good Bis SI.50. To maximize utiliy, the consumer sould
O purchase more of good A and less of good B
O purchase more of good B and less of good A
O maintain the current combination of goods A andB
O purchase more of both goods
O purchase less of both goods
Ansrer the question abore by clicking ou the cereerrespouse](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F28b5178b-ae6d-4dab-842d-7a88ae715002%2Fa8cc76b7-a838-40e6-a6cb-27363983b9c9%2Fi36sb8j_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A consumer spends her entire income purchasing two goods: good A and good B. The marginal mily of de
last unit of good A purchased is 600, and the price of good A is S.20. The maginal utilty of de lst mn ef
good B purchased is 45, and the price of good Bis SI.50. To maximize utiliy, the consumer sould
O purchase more of good A and less of good B
O purchase more of good B and less of good A
O maintain the current combination of goods A andB
O purchase more of both goods
O purchase less of both goods
Ansrer the question abore by clicking ou the cereerrespouse
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