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Suppose a Consumer Is Purchasing Coke (C) and Pretzels (P)

Question 102

Multiple Choice

Suppose a consumer is purchasing Coke (c) and pretzels (p) in quantities such that he is achieving consumer equilibrium. Then the price of Coke increases. Which of the following will be true?


A) MUC/PC = MUP/PP
B) MUC/PC > MUP/PP
C) MUC/PC < MUP/PP
D) We cannot say for certain what will happen to the MUC/PC relative to the MUP/PP.

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