Multiple Choice
The below table shows the average utility (in utils) obtained from the consumption of goods A and B.Table 7.3
-As long as the marginal utilities per dollar obtained from the last unit of all products consumed are the same, _____.
A) the consumer is in equilibrium and will not reallocate income
B) the consumer is not in equilibrium and will reallocate income
C) the consumer is most likely operating a budget deficit
D) the consumer is not maximizing utility
E) the government will recognize this as an intolerable disequilibrium and will most likely intervene by imposing a tax and reallocate the consumer's income
Correct Answer:

Verified
Correct Answer:
Verified
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