The combination of two goods at which total utility is maximized must lie somewhere on the consumer's budget line
a. True
b. False
A
Economics
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All of the following statements regarding the marginal revenue product (MRP) curve and the demand for labor are true EXCEPT
A) an individual firm's demand for labor is its MRP curve. B) under conditions of perfect competition, MRP equals marginal physical product multiplied by the product's price. C) an increase in the market demand for a given product decreases the product's price. D) the demand for labor is a derived demand.
Economics
Suppose a market has the demand function Qd=20-0.5P. At what price will total revenue be maximized?
Economics