Consumer equilibrium occurs where the budget line is tangent to the:

a. lowest possible indifference curve.
b. highest possible indifference curve.
c. utility maximizing indifference curve.
d. utility equalization indifference curve.

b

Economics

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Refer to Figure 10-7. Suppose the price of Pilates sessions rise to $30 while income and the price of Yoga sessions remain unchanged. The income effect of this price change is represented by the movement from

A) A to B. B) B to C. C) D to B D) D to C.

Economics

Institutions are

A) the same thing as organizations. B) associations of individuals or groups. C) always embodied in a written set of rules. D) a set of rules governing behavior, whether written or not.

Economics