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Harper has an income of $40 spent on good 1 and good 2. The price of good 1 is $2 per unit and the price
Harper has an income of $40 spent on good 1 and good 2. The price of good 1 is $2 per unit and the price of good 2 is $4 per unit. a. Suppose Harper currently consumes 10 units of good 1 and 5 units of good 2. Her marginal utility from the 10th unit of good 1 is 30 utils, and her marginal utility from the 5th unit of good 2 is 40 utils. Is Harper maximizing her total utility? If so, explain how you know. If not, how should she rearrange her spending to increase her total utility? b. Suppose Harper currently consumes 16 units of good 1 and 2 units of good 2. Her marginal utility from the 16th unit of good 1 is 12 utils, and her marginal utility from the 2nd unit of good 2 is 60 utils. Is Harper maximizing her total utility? If so, explain how you know. If not, how should she rearrange her spending to increase her total utility? c. Suppose Harper currently consumes 12 units of good 1 and 4 units of good 2. Her marginal utility from the 12th unit of good 1 is 24 utils, and her marginal
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