menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Principles of Economics
  4. Exam
    Exam 22: The Theory of Consumer Choice
  5. Question
    The Optimal Level of Consumption Occurs Where the Marginal Rate
Solved

The Optimal Level of Consumption Occurs Where the Marginal Rate

Question 66

Question 66

True/False

The optimal level of consumption occurs where the marginal rate of substitution is greater than the sum of the relative price and the consumer has spent all his or hers income.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q61: If an in-kind transfer forces the recipient

Q62: If two goods are perfect substitutes, their

Q63: All Giffen goods are also inferior goods.

Q64: Using the graph shown, construct a demand

Q65: The substitution effect and income effect always

Q67: Suppose you win a 'grocery-grab' at your

Q68: Graph 22-4 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8859/.jpg" alt="Graph 22-4

Q69: Economists define utility as a measure of

Q70: Indifference curves can be used to rank

Q71: If an in-kind transfer forces the recipient

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines