Multiple Choice
Assume the consumer is correctly applying the rational spending rule for goods jeans and t-shirts.If the price of jeans falls,purchases of jeans and t-shirts rise because
A) the marginal utility of jeans increases.
B) the marginal utility of t-shirts increases.
C) the marginal utility of jeans decreases.
D) combinations of jeans and t-shirts that could not be considered before now become available.
Correct Answer:

Verified
Correct Answer:
Verified
Q48: Why do lines tend to be longer
Q49: As living standards improve,<br>A)things that were once
Q50: Casey earns $150 a week and consumes
Q51: During Thanksgiving you participated in a pumpkin-pie
Q52: The dollar price of a good relative
Q55: Fran runs a doughnut shop in
Q56: This graph shows one consumer's demand for
Q57: Assume that Dusty has $30 in income,the
Q58: For the two good case,the rational spending
Q90: It is impossible for total utility to