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If a Consumer Reallocates His or Her Spending Away from Good

Question 21

Multiple Choice

If a consumer reallocates his or her spending away from Good A and towards Good B, then the consumer's total utility will increase if:

A) MUA/PA > MUB/PB.
B) MUA/PA < MUB/PB.
C) MUA/PA > 0 and MUB/PB > 0.
D) MUA/PA < 0 and MUB/PB < 0.

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