Suppose the Price of a Pair of Jeans Is $25

question 77

Multiple Choice

Suppose the price of a pair of jeans is $25 and the price of a t-shirt is $15. The consumer's budget is entirely allocated. If the marginal utility from a pair of jeans is 100 units and the marginal utility from a t-shirt is 75 units, the consumer is

• A) not in equilibrium and should purchase more t-shirts and more jeans.
• B) not in equilibrium but should maintain the current level of purchases.
• C) in equilibrium because his or her utility is maximised.
• D) not in equilibrium and should purchase fewer t-shirts and more jeans.
• E) not in equilibrium and should purchase fewer jeans and more t-shirts.

---

Definitions:

Regulation of Transcription

The method of managing RNA synthesis from a DNA template, an essential phase in the expression of genes.

mRNA Processing

The series of modifications mRNA undergoes after transcription, including splicing, 5' capping, and addition of a poly-A tail, making it ready for translation.

mRNA Transport

The process of transporting messenger RNA molecules from the nucleus to the cytoplasm where they are translated into proteins.

Chromatin

A structure composed of DNA and predominant proteins, particularly histones, which create chromosomes inside the nucleus of cells belonging to eukaryotes.