Exploring Economics
Exploring Economics
8th Edition
ISBN: 9781544336329
Author: Robert L. Sexton
Publisher: SAGE Publications, Inc
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Question
1) Consider an individual with preferences over two goods.   This consumer is maximising utility when:

a) They receive the same utility from each good.
b) They spend the same amount of money on each good.
c) The MRS is greater than the ratio of the prices of the two goods.
d) None of the above.
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