For a Consumer, the Marginal Utility of Good a Is

question 149

Essay

For a consumer, the marginal utility of good A is 25 and its price is $5. The marginal utility of good B is 60 and its price is $12. The consumer has allocated his entire budget. Is this consumer maximizing his total utility? Explain your answer.

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Definitions:

Blogs

Web pages or sites that are regularly updated and managed by an individual or small group, often focused on a single subject or a range of topics.

Paid

Refers to content or advertising that is paid for to promote a product, service, or brand on various platforms.

Owned

Refers to media channels that a brand controls directly, such as their websites, blogs, or email newsletters.

Earned

Refers to something obtained or achieved through effort or work, rather than inherited or given by default.