A utility-maximizing consumer would not consume more of a good if
a. marginal utility increases as more is consumed
b. total utility diminishes as more is consumed
c. MU/P < 1
d. MU/P < 1
e. MU/P = 1
B
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What does the PPI measure?
A) the level of production of goods and services generated in the economy in a given year B) the average of the prices received by producers of goods and services at all stages of the production process C) the average change in the prices paid for all goods produced in the economy over a given year D) the difference between the prices consumers pay for goods and services and the prices producers pay for goods and services
In the figure above, point B represents
A) a current account deficit. B) a current account surplus. C) a reduction in inventories. D) a temporary imbalance in the money markets.