Morty's marginal utility from consuming orange juice is 80 utils per ounce and his marginal utility from consuming coffee is 50 utils per ounce. If orange juice costs $0.20 per and coffee costs $0.20 per ounce, is Morty maximizing his total utility from the two beverages? At his current level of consumption, Morty receives utils per dollar spent on orange juice, and he receives a utils per dollar spent on coffee. Thus, is Morty maximizing his total utility? (Key in Yes or No) .

Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter6: Consumer Choice Theory
Section: Chapter Questions
Problem 6SQP
Question
Morty's marginal utility from consuming orange juice is 80 utils per ounce and his marginal utility from
consuming coffee is 50 utils per ounce. If orange juice costs $0.20 per and coffee costs $0.20 per ounce, is
Morty maximizing his total utility from the two beverages? At his current level of consumption, Morty
receives utils per dollar spent on orange juice, and he receives a utils per dollar spent on coffee. Thus, is
Morty maximizing his total utility? (Key in Yes or No)
.
Transcribed Image Text:Morty's marginal utility from consuming orange juice is 80 utils per ounce and his marginal utility from consuming coffee is 50 utils per ounce. If orange juice costs $0.20 per and coffee costs $0.20 per ounce, is Morty maximizing his total utility from the two beverages? At his current level of consumption, Morty receives utils per dollar spent on orange juice, and he receives a utils per dollar spent on coffee. Thus, is Morty maximizing his total utility? (Key in Yes or No) .
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