This question is based on the following table. Units of Good X 1 2 3 4 in 5 6 Marginal utility of Good X 20 16 12 8 4 0 Units of Good Y units of Y. 1 2 3 4 5 6 Marginal utility of Good Y 12 10 8 6 4 2 Assume that goods X and Y both cost R1 per unit and you have R7 to spend on both goods. To maximise utility, you would consume units of X and
This question is based on the following table. Units of Good X 1 2 3 4 in 5 6 Marginal utility of Good X 20 16 12 8 4 0 Units of Good Y units of Y. 1 2 3 4 5 6 Marginal utility of Good Y 12 10 8 6 4 2 Assume that goods X and Y both cost R1 per unit and you have R7 to spend on both goods. To maximise utility, you would consume units of X and
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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