Let MU_A and MU_B Stand for the Marginal Utility of Goods

question 59

Multiple Choice

Let MU_A and MU_B stand for the marginal utility of goods A and B,respectively.Let P_A and P_B stand for the price of goods A and B,respectively.Which statement must hold for consumer equilibrium?

• A)MU_A = MU_B
• B)MU_A = MU_B and P_A = P_B
• C)MU_A/MU_B = P_B/P_A
• D)MU_A/MU_B = P_A/P_B
• E)MU_AP_A = MU_BP_B

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