Suppose a Consumer Has Preferences Over Two Goods, X and Y

question 262

Multiple Choice

Suppose a consumer has preferences over two goods, X and Y, which are perfect substitutes. In particular, two units of X is equivalent to one unit of Y. If the price of X is $1, the price of Y is $3, and the consumer has $30 of income to allocate to these two goods, how much of each good should the consumer purchase to maximize satisfaction?

• A)30 units of X and 0 units of Y
• B)0 units of X and 10 units of Y
• C)15 units of X and 5 units of Y
• D)15 units of X and 0 units of Y

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Definitions:

Sexual Activity

Engaging in acts of physical intimacy or sexual intercourse between individuals.

Female Sexual Interest/Arousal Disorder

A sexual dysfunction characterized by a lack of sexual interest and/or arousal in women.

Erotic Cues

Stimuli that are sexually appealing and can trigger sexual arousal or desire.

Physical Stimulation

The process of exciting or invigorating the body or any of its parts via a physical act or input.