In Periods 0 and 1, Ralph Consumed Two Goods, X₁

Multiple Choice

In periods 0 and 1, Ralph consumed two goods, x₁ and x₂, and his utility functions in the two periods were identical. In period 0 the prices of x₁ and x₂ were $2 and $1 respectively, and Ralph consumed 10 units of x₁ and 80 units of x₂. In period 1 the prices of x₁ and x₂ were identical, and equal to $1. If Ralph consumed 15 units of x₁ and 65 units of x₂ in period 1, then:

A) he may have been equally well off in both periods.
B) we cannot say whether he was better off in one of the periods.
C) he was better off in period 1.
D) he was better off in period 0.