Consumers Maximize Their Utility When

question 118

Multiple Choice

Consumers maximize their utility when:

• A) the total benefits are greater than total costs.
• B) the marginal utility per dollar is equal across all goods consumed and all income is spent.
• C) they consume the good on which they place the highest overall value.
• D) they diversify their consumption across goods.

---

Definitions:

Heritability Ratio

A statistical estimate of the proportion of observed variation in a particular trait (like height or intelligence) within a population that can be attributed to inherited genetic factors.

Genetic Differences

Variations in the DNA sequences among individuals that contribute to biological diversity within a species.

Variance

A statistical measure of the dispersion of data points in a data set, indicating how far each data point is from the mean.

Population

In biology, it refers to all the organisms of the same group or species who live in a particular geographical area and are capable of interbreeding.