Multiple Choice
Which of the following is true when the price of a good is zero?
A) A consumer will consume additional units of the good as long as the ratio of total utility to price is positive.
B) A consumer will consume an infinite quantity of the good as the good is available free of cost.
C) A consumer will consume additional units of the good as long as marginal utility is positive.
D) A consumer will consume the entire amount of the good available in the market.
E) A consumer will consume until total utility derived from consumption becomes zero.
Correct Answer:
Verified
Correct Answer:
Verified
Q186: Table 6.2<br> <span class="ql-formula" data-value="\begin{array}
Q187: Exhibit 6.2<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1208/.jpg" alt="Exhibit 6.2
Q188: The dollar value of the marginal utility
Q189: Exhibit 6.11<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1208/.jpg" alt="Exhibit 6.11
Q190: At a zero price,the consumer surplus of
Q192: Different people may have different tastes,but their
Q193: Which of the following is true when
Q194: Table 6.3<br> <span class="ql-formula" data-value="\begin{array}
Q195: Arnold is a utility-maximizing consumer.If he thinks
Q196: Table 6.2<br> <span class="ql-formula" data-value="\begin{array}