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A Consumer Maximizes Satisfaction at the Point Where His Valuation

Question 144

Multiple Choice

A consumer maximizes satisfaction at the point where his valuation of good X, measured as the amount of good Y he would willingly give up to obtain an additional unit of X, equals:


A) the magnitude of the slope of the indifference curve through that point.
B) one over the magnitude of the slope of the indifference curve through that point.
C) Px/Py
D) Py/Px

Correct Answer:

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