Assume that an individual is currently spending all of her income on two goods, A and B, whose prices are 8p and 6p, respectively, and currently enjoys a marginal utility of 72 units from the last...

Assume that an individual is currently spending all of her income on two goods, A and B, whose prices are 8p and 6p, respectively, and currently enjoys a marginal utility of 72 units from the last unit of A that she consumes and a marginal utility of 40 units from the last unit of B. How

should she adjust her expenditure in order to increase total utility?




May 26, 2022
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