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Suppose that Ms. Thomson is currently exhausting her money income by purchasing 10 units of A and 8 units of B at prices of $3
Suppose that Ms. Thomson is currently exhausting her money income by purchasing 10 units of A and 8 units of B at prices of $3 and $9, respectively. The marginal utility of the last units of A And B are 15 and 18, respectively. These data suggest that Ms. Thomson.
Multiple choice
A.has preferences that are at odds with the principle of diminishing marginal utility.
B. Considers A And B to be complementary goods.
C. Should buy less A And more B
D. Should buy less B and more A
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