Suppose That a Consumer Purchases Just Two Goods, X and Y

question 42

Multiple Choice

Suppose that a consumer purchases just two goods, X and Y. The slope of the budget line would indicate the:

• A) Opportunity cost of good Y in terms of good X given up for each unit of Y
• B) Opportunity cost of good X in terms of good Y given up for each unit of Y
• C) Maximum quantity of good Y that the consumer could buy with a given budget
• D) Maximum quantity of good X that the consumer could buy with a given budget

---

Definitions:

Customer Value

The perception of what a product or service is worth to a customer versus the possible alternatives, reflecting the benefits and costs.

Unique Value

Unique value denotes the exclusive benefits or features that make a product or service stand out from its competitors.

Environmental Forces

External factors such as social, economic, technological, and political conditions that influence an organization's or industry's performance but are beyond its control.

Competitive

Relating to, characterized by, or based on the principle of competition, where entities vie for dominance in a market or field.