Adam has 3 apples and 3 oranges. Eve has 2 apples and 2 oranges. The marginal utilities for Adam and Eve are summarized in the above table. Adam asks Eve to exchange one of her apples for an orange.
A. Eve will be willing to make the exchange, because her total satisfaction will remain unchanged.
B. Eve will be unwilling to make the exchange, because she loses 15 utils of satisfaction.
C. Eve will be unwilling to make the exchange, because she loses 5 utils of satisfaction.
D. Eve will be willing to make the exchange, because her total satisfaction will increase.
Answer: D
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