Using the Utility Approach,the Consumer Is in Equilibrium When

question 96

Multiple Choice

Using the utility approach,the consumer is in equilibrium when:

• A)the marginal utility associated with consuming the last unit is zero.
• B)total utility from each good is at a maximum.
• C)the marginal utilities associated with consuming an extra unit of each good are equal.
• D)the marginal utility per dollar's worth of each good is equal.

---

Definitions:

Economic Recession

A period of temporary economic decline during which trade and industrial activities are reduced, generally identified by a fall in GDP in two successive quarters.

Unemployment

The situation of being jobless and actively looking for work but unable to find a job.

Older Parent

An individual who has assumed the role of a parent at an age considered older than typical for new parenting, often bringing unique challenges and perspectives.

Generation Gap

Differences in opinions, values, or trends observed between members of different generations, often leading to misunderstanding or conflict.