A consumer with a fixed income will maximize utility when each good is purchased in amounts such that the:
A. Total utility is the same for each good
B. Marginal utility of each good is maximized
C. Marginal utility per dollar spent is the same for all goods
D. Marginal utility per dollar spent is maximized for each good
C. Marginal utility per dollar spent is the same for all goods
Economics
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In order for a central planner to achieve the invisible-hand type efficiency of a free market, the planner would
a. need masses of statistics. b. be required to makes enormous calculations. c. need to be able to measure a consumer's marginal utility in order to equate MU with MC. d. All of the above would be required.
Economics
How does the distribution of wealth differ from the distribution of income in the United States?
What will be an ideal response?
Economics