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Assume That a Consumer Purchases a Combination of Products

Question 219

Multiple Choice

Assume that a consumer purchases a combination of products. Product A is an old and reliable product. Product B is a new and appealing product. The MUₐ /Pₐ = 15 and MUᵦ /Pᵦ = 10. To maximize utility without spending more money, the consumer should


A) purchase less of B and more of A.
B) purchase more of A and less of B.
C) purchase more of both A and B.
D) make no change in A and B.

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