Multiple Choice
Nathalie is maximising total utility while consuming food and clothing. Her marginal utility from food and clothing is 50 and 25, respectively. If clothing is priced at R100 per unit, the price of food must
A) be rising.
B) be falling.
C) equal R100 as well.
D) equal R200.
Correct Answer:
Verified
Correct Answer:
Verified
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