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Samir Consumes Apples and Bananas and Is in Consumer Equilibrium

question 14

Multiple Choice

Samir consumes apples and bananas and is in consumer equilibrium.The marginal utility from his last apple is 10 and the marginal utility from his last banana is 5.If the price of an apple is $0.50,then what is the price of a banana?

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Definitions:

Gold Standard

A financial framework in which a nation's paper currency holds a direct value correlation with gold.

Trade Deficits

A situation where a country's imports exceed its exports, leading to more money leaving the country than coming in.

Money Supply

The total amount of monetary assets available in an economy at a specific time.

Gold Standard

A financial system in which the value of a nation's paper currency is directly tied to gold.

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