Suppose the Price Of $A$ Is $\$ 20$ , the Price Of $B$

question 56

Multiple Choice

Suppose the price of $A$ is $\$ 20$ , the price of $B$ is $\$ 10$ , and that the consumer is currently spending all available income. At the consumer's current consumption basket the marginal utility of $A$ is 8 and the marginal utility of $B$ is 4 .

• A) The consumer is currently maximizing utility.
• B) The consumer could increase utility by consuming more of good \(A\) and less of \(\operatorname { good } B\).
• C) The consumer could increase utility by consuming more of good \(B\) and less of \(\operatorname { good } A\).
• D) Nothing can be said about the consumer's utility because we do not know the consumer's income or utility function.

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Definitions:

Three-Dimensional Patterns

Structured arrangements or designs that have depth, height, and width, giving them a sense of volume or space.

Recessive

Referring to a gene that only influences the expression of a trait when paired with an identical gene.

Dominant

Referring to the most powerful, influential, or significant element or gene in a context or system.

Gene

A unit of heredity made up of DNA occupying a fixed position on a chromosome, which is responsible for the inherited characteristics in living organisms.