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What determined a household's consumption possibilities? How would you answer someone who says that marginal utility theory is useless because utility cannot be observed? What

  1. What determined a household's consumption possibilities?
  2. How would you answer someone who says that marginal utility theory is useless because utility cannot be observed?
  3. What is a consumer surplus? How is consumer surplus calculated?
  4. What is a firm and what is the fundamental economic problem that all firms face?

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