Figure 7-1 -Refer to Figure 7-1.Which of the following statements is true? A)Quantities Q₀ and Q₁ are the utility-maximizing quantities of hoagies at two different prices of hoagies. B)Quantities Q₀ and Q₁ may not necessarily be the utility-maximizing quantities of hoagies at two different prices because we have no information on the consumer's budget or the price of other goods. C)Quantity Q₀ could be a utility-maximizing choice if the price is $5.75,but quantity Q₁ may not be because we have no information on the marginal utility per dollar when price changes. D)Quantities Q₀ and Q₁ are derived independently of the utility-maximizing model.

Question

Quizplus · Accepted Answer

The Answer of Figure 7-1 -Refer to Figure 7-1.Which of the following statements is true? A)Quantities Q₀ and Q₁ are the utility-maximizing quantities of hoagies at two different prices of hoagies. B)Quantities Q₀ and Q₁ may not necessarily be the utility-maximizing quantities of hoagies at two different prices because we have no information on the consumer's budget or the price of other goods. C)Quantity Q₀ could be a utility-maximizing choice if the price is $5.75,but quantity Q₁ may not be because we have no information on the marginal utility per dollar when price changes. D)Quantities Q₀ and Q₁ are derived independently of the utility-maximizing model.

Figure 7-1 -Refer to Figure 7-1.Which of the Following Statements Is True