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A Consumer Maximizes Utility, Given Her Income, When She Chooses

Question 217

Multiple Choice

A consumer maximizes utility, given her income, when she chooses a consumption bundle whose:


A) marginal utility of each good is equal.
B) highest indifference curve is tangent to the budget line.
C) marginal rate of substitution is highest.
D) marginal utility of each good is highest.

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