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The Consumer Equilibrium Condition for Two Goods Is Achieved by Equating

Question 95

Multiple Choice

The consumer equilibrium condition for two goods is achieved by equating the:


A) marginal utility of one to the price of the other for the last dollar spent on each good.
B) prices of both goods for the last dollar spent on each good.
C) marginal utilities of both goods for the last dollar spent on each good.
D) ratios of marginal utility to the price of both goods for the last dollar spent on each good.

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