Refer to the information provided in Figure 6.15 below to answer the question that follows. Figure 6.15Refer to Figure 6.15. Why is Jason not maximizing his utility at point C?

A. He is not spending his entire budget.
B. His marginal utility per dollar spent on the last sandwich is less than his marginal utility per dollar spent on his last hot dog.
C. His marginal utility per dollar spent on the last sandwich is greater than his marginal utility per dollar spent on his last hot dog.
D. He is maximizing his utility at point C.


Answer: C

Economics

You might also like to view...

An increase in the price level will

A) move the economy down along a stationary aggregate demand curve. B) move the economy up along a stationary aggregate demand curve. C) shift the aggregate demand curve to the left. D) shift the aggregate demand curve to the right.

Economics

The real business cycle model best explains the procyclicality of the nominal money supply by

A) an unpredictable Federal Reserve. B) exogenous money. C) endogenous money. D) uncorrelated money.

Economics

Interest rate differentials can cause rapid fluctuations in short-run exchange rates

a. True b. False Indicate whether the statement is true or false

Economics

Part A of Medicare covers

A. prescriptions taken out of the hospital. B. only charges incurred in a hospital. C. all health care needs. D. doctor visits outside of a hospital.

Economics