Total Utility Is Maximised in the Consumption of Two Goods

question 124

Multiple Choice

Total utility is maximised in the consumption of two goods by

• A) equating the marginal utility for each good consumed.
• B) equating the marginal utility per dollar for each good consumed.
• C) equating the total utility of each good divided by its price.
• D) maximising expenditure on each good.

---

Definitions:

Pancreas

An organ in the abdomen that produces digestive enzymes and hormones, including insulin.

Respiratory System

A system in the body consisting of structures like the lungs and airways, designed to facilitate gas exchange, particularly oxygen intake and carbon dioxide expulsion.

Sweat Glands

Specialized exocrine glands found in the skin that are responsible for the production and secretion of sweat.

Rhinoplasty

A surgical procedure designed to reshape or repair the nose for either aesthetic or functional purposes.