When Kathryn spends her entire budget and equates marginal utility per dollar across all goods, then Kathryn's total utility is maximized

Advertising can enhance economic efficiency when it:

A. increases brand loyalty. B. raises entry barriers. C. increases consumer awareness of substitute products. D. boosts average total cost.

Which of the following examples accurately shows the cross-price elasticity of demand?

a. A +3 percent price for rye bread and a +6 percent demand for oatmeal bread equals a cross-price elasticity of demand of +18. b. A +9 percent price for roses and a +11 percent demand for tulips equals a cross-price elasticity of demand of +2. c. A +7 percent price for bar soap and a +21 percent demand for liquid soap equals a cross-price elasticity of demand of +28. d. A +10 percent price for chocolate chip cookies and a +30 percent demand for oatmeal raisin cookies equals a cross-price elasticity of demand of +3.