Harold's Utility Function Is U(x, Y) = (X + 3)(y

question 51

Multiple Choice

Harold's utility function is U(x, y) = (x + 3) (y + 2) . The price of x is $1. The price of y is $2. At all incomes for which Harold consumes positive amounts of both goods, he will consume

• A) more than twice as many units of x as of y.
• B) more than twice as many units of y as of x.
• C) 1 more unit of x than of y.
• D) 1 more unit of y than of x.
• E) as many units of y as of x.

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Definitions:

Antipoverty Program

Initiatives or policies designed to reduce poverty levels and improve the economic conditions of the less privileged in a society.

Earned Income Tax Credit

A refundable tax credit for low- to moderate-income working individuals and families, particularly those with children.

Means-Tested

A method for determining whether an individual or family is eligible for government assistance based on their income or resources.

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Non-monetary compensation or goods and services provided instead of cash, often used in social welfare programs or employee benefits.