Use the Indifference Curves and the Budget Lines in Figure

question 100

Multiple Choice

Use the indifference curves and the budget lines in Figure 19.3 to answer the indicated question.Assume the price of Y is $1 per unit.Point D on the graph

• A)Is not affordable.
• B)Is affordable but does not yield the highest utility possible.
• C)Is affordable and is the optimal consumption bundle for this individual.
• D)Lies on an indifference curve that is not obtainable.

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