The Expected Marginal Benefit to You from Purchasing a New

question 171

Multiple Choice

The expected marginal benefit to you from purchasing a new sport utility vehicle is $20,000. The price of the new sport utility vehicle is $22,000.

• A)​If you are acting rationally, you will borrow $2,000 and purchase a new sport utility vehicle.
• B)​You will not purchase the new sport utility vehicle at this time if you are acting rationally.
• C)​If you do not purchase the new sport utility vehicle, your net loss will be $2,000.
• D)​If you are acting rationally, you will purchase sport utility vehicles until the marginal cost of doing so falls to $20,000.

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