Suppose a consumer is spending all of his/her income on two goods, A and B, in a manner where MUa = 15 and MUb = 75, and the Pa = $3 and the Pb = $15, then the consumer:
a. is maximizing his/her utility.
b. should increase his/her purchases of B and decrease the purchases of A.
c. should spend more money on both goods.
d. should spend less money on both goods.
e. should increase the purchases of A and decrease the purchases of B.
a
Economics
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