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Suppose the price of Good X is $1 and the price of Good Y is $2 . If a consumer has a Marginal Rate of
Suppose the price of Good X is$1and the price of Good Y is$2. If a consumer has a Marginal Rate of Substitution (MRSxy) of0.25for the bundle they are considering, then given their budget constraint, the consumer...
Select one:
a.Would have a higher utility if they bought less of Good X.
b.Cannot reach a higher level of utility given their budget constraint.
c.Would have a higher utility if they bought more of Good X.
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