Marginal Utility Analysis Predicts a Downward-Sloping Demand Curve for Good

Multiple Choice

Marginal utility analysis predicts a downward-sloping demand curve for good X because

A) as PX falls,the ratio MUX/PX becomes smaller,causing the consumer to purchase more of good X.
B) as PX rises,the consumer increases purchases of X such that MUX/PX is equal to MU/P for all other products.
C) utility-maximizing consumers equate marginal utility received for each product consumed.
D) all demand curves are downward sloping,regardless of the behaviour of consumers.
E) as PX falls,the consumer increases purchases of X until MUX/PX is equal to MU/P for all other products.