Multiple Choice
Ahmed spends all of his money on movie tickets and groceries. Suppose Ahmed is presented with two options: A and B. Option A gives him a voucher of $X that he can only spend on groceries. Option B gives him $X that he can spend on either or both of the goods. Which of the following is correct assuming Ahmed is indifferent between the two options?
A) Ahmed spends at least $X on groceries.
B) Ahmed spends less than $X on groceries.
C) Ahmed must be indifferent between movie tickets and groceries.
D) Ahmed spends his entire income on movie tickets.
Correct Answer:
Verified
Correct Answer:
Verified
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