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

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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This question is based on the following table.
Units of Good X
Marginal utility of
Good X
20
16
12
8
4
0
1
2
3
4
5
6
units of X and
Units of Good Y
units of Y.
1
2
3
4
in
5
6
Marginal utility of
Good Y
12
10
8
6
4
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
2
Transcribed Image Text:This question is based on the following table. Units of Good X Marginal utility of Good X 20 16 12 8 4 0 1 2 3 4 5 6 units of X and Units of Good Y units of Y. 1 2 3 4 in 5 6 Marginal utility of Good Y 12 10 8 6 4 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 2
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