Multiple Choice
If an indifference curve intersects the budget constraint at two points,then ________.
A) the consumer would be equally happy at either of those two points
B) optimal consumption is found by moving to a lower indifference curve
C) optimal consumption is found by moving to a lower budget constraint
D) the consumer will choose the point that minimizes consumption expenditure
Correct Answer:
Verified
Correct Answer:
Verified
Q63: The permanent income hypothesis highlights the phenomenon
Q64: A rightward shift in the intertemporal budget
Q65: According to the life-cycle hypothesis,as people grow
Q66: Which of the following is not true
Q67: The theory of intertemporal choice,and the life-cycle
Q69: The theory of intertemporal choice was presented
Q70: The Keynesian consumption function does not display
Q71: Consumption smoothing refers to _.<br>A)the impact of
Q72: Suppose consumers anticipate that their wealth will
Q73: The marginal propensity to consume describes _.<br>A)the