-In the Above Figure, at the Price Level of 140

question 372

Multiple Choice

-In the above figure, at the price level of 140 and real GDP of

• A) $15 trillion, firms will not be able to sell all their output.
• B) $5 trillion, firms will not be able to sell all their output.
• C) $5 trillion, consumers will not be able to buy all the goods and services they demand.
• D) $15 trillion, consumers will not be able to buy all the goods and services they demand.

---

Definitions:

MR Curve

The marginal revenue curve, which shows how a firm's revenue changes with each additional unit sold.

Marginal Utility

The supplementary enjoyment or value derived from the use of one more unit of a good or service.

Hypothetical Consumer

A theoretical representation of an average or typical consumer used in economic models to predict the behavior of consumers under different market conditions.

Total Utility

The total enjoyment gained from the use of a particular cumulative amount of a product or service.