If a consumer reallocates his or her spending away from Good A and towards Good B, then the consumer's total utility will increase if:

A. MUA/PA < 0 and MUB/PB < 0.
B. MUA/PA < MUB/PB.
C. MUA/PA > MUB/PB.
D. MUA/PA > 0 and MUB/PB > 0.


Answer: B

Economics

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