The Last Big Mac That Eva Consumes Costs $2

question 92

Multiple Choice

The last Big Mac that Eva consumes costs $2.00 and gives her 24 units of utility. The last Whopper she consumes costs $1.50 and gives her 18 units of utility. Eva is maximizing her utility. If the price of the Whopper falls to $1.30 and given diminishing marginal utility, Eva should:

• A) consume more Big Macs and fewer Whoppers.
• B) consume more Whoppers and fewer Big Macs.
• C) keep consuming the current amounts of both Big Macs and Whoppers.
• D) realize that she doesn't have enough information to answer the question.

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Definitions:

Maturity

The state of being fully developed physically or mentally, often characterized by responsible behavior and emotional stability.

Only Child

A child who has no siblings, neither brothers nor sisters.

First Marriage

The initial legal, religious, or social union between two individuals as spouses.

Young People

Individuals in their early life stages, generally considered to be in the age range from adolescence to early adulthood.