Solved

At a Consumer's Optimal Choice, the Consumer Chooses the Combination

Question 155

True/False

At a consumer's optimal choice, the consumer chooses the combination of goods such that the ratio of the marginal utilities equals the ratio of the prices.

Correct Answer:

verifed

Verified

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

Related Questions

Q150: A budget constraint illustrates bundles that a

Q151: A typical consumer consumes both coffee and

Q152: Giffen goods violate the law of demand.

Q153: Figure 21-19<br>The figure shows three indifference curves

Q154: A budget constraint illustrates the<br>A)prices that a

Q156: Figure 21-8 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7555/.jpg" alt="Figure 21-8

Q157: Scenario 21-1<br>Suppose the price of nachos is

Q158: The theory of consumer choice is representative

Q159: Using our model of consumer choice, is

Q160: Figure 21-7<br>The following graph shows three possible