Use the Following to Answer Questions

question 138

Multiple Choice

Use the following to answer questions:
Figure: Coffee and Comic Books
-(Figure: Coffee and Comic Books) Refer to the figure. A consumer has $2 to spend on comic books (priced at $1 per comic book) and coffee (priced at $1 per cup) . To maximize utility, should this consumer buy two cups of coffee?

• A) Yes, buying two cups of coffee maximizes the consumer's total utility.
• B) Yes, because the marginal utility of the second comic book is less than the marginal utility of the second cup of coffee.
• C) No, the consumer should put back one cup of coffee (losing 16 utils) and replace it with a comic book (gaining 18 utils).
• D) No, the consumer should buy two comic books to maximize utility.

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Definitions:

Viral Infections

Illnesses caused by viruses, tiny infectious agents that can replicate only inside the living cells of an organism.

Stress Hormones

Hormones that are released in the body in response to stress, primarily cortisol and adrenaline, affecting various physiological responses.

Lymphocytes

Lymphocytes are a type of white blood cell crucial to the immune system, playing a pivotal role in defending the body against infections and diseases.

Bacterial Infections

Diseases caused by bacteria that can lead to a range of symptoms, from mild to life-threatening, affecting various parts of the body.