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Sam Consumes Only Sandwiches and Soda and Maximizes His Total

Question 19

Multiple Choice

Sam consumes only sandwiches and soda and maximizes his total utility. Suppose that the price of a sandwich falls. At the new consumer equilibrium, Sam substitutes ________ for ________. Sam's marginal utility from soda ________ and his marginal utility per dollar spent on sandwiches ________.


A) sandwiches; soda; increases; increases
B) soda; sandwiches; decreases; increases
C) sandwiches; soda; increases; decreases
D) soda; sandwiches; stays the same; stays the same

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