Solve the Problem $P ( A ) = 0.39 , P ( B ) = 0.36$

question 192

Multiple Choice

Solve the problem.
-Suppose that $P ( A ) = 0.39 , P ( B ) = 0.36$ , and $P ( A \cap B ) = 0.21$ , find $P ( A \cup B )$ .

• A) \(0.54\)
• B) \(0.75\)
• C) \(0.33\)
• D) \(0.96\)

---

Definitions:

Budget Line

A graphical representation of all possible combinations of two goods which can be purchased with a given budget and prices.

Two-Product Case

A scenario in economic analysis focusing on the effects of changes in production levels, costs, and demand for two products simultaneously.

Change in Income

A variation in an individual's or household's earnings over a specific time frame.

Utility-Maximizing Rule

An economic principle that guides consumers to allocate their income in a way that maximizes their overall satisfaction.