The Consumer's Income Is $800

question 56

Multiple Choice

The consumer's income is $800.
-According to the above figure,why doesn't the consumer choose the combination at point B?

• A)The consumer is willing to give up more X for additional units of Y than the rate in the market.
• B)The marginal utility of Y exceeds the marginal utility of X.
• C)The marginal utility per dollar spent on Y exceeds the marginal utility per dollar spent on X.
• D)both a and c
• E)both b and c