For a Consumer to Maximize Utility from a Given Income

question 112

Multiple Choice

For a consumer to maximize utility from a given income,

• A)the marginal utility from each good must be maximized.
• B)the total utility from each good must be maximized.
• C)the marginal utilities of all goods and services consumed must be equal.
• D)the marginal utility per dollar from all goods and services consumed must be equal.
• E)the amount of each good consumed per dollar must be equal.

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Definitions:

Confidence Interval

A range of values, derived from sample data, that is likely to contain the value of an unknown population parameter with a certain level of confidence.

Population Mean

The average of all observations or scores in a population.

Confidence Level

The probability that a confidence interval will contain the true population parameter.

Population Parameter

A numerical value that summarizes or describes a characteristic of an entire population.