Figure 21-18
-Refer to Figure 21-18. Given the budget constraint depicted in the graph, the consumer's optimal choice will be point
A)A.
B)B.
C)C.
D)D.

Question

Figure 21-18 
-Refer to Figure 21-18. Given the budget constraint depicted in the graph, the consumer's optimal choice will be point
A)A. 
B)B. 
C)C. 
D)D.

Quizplus · Accepted Answer

The optimal choice is point C because it is the point on the budget constraint that is tangent to the indifference curve. This means that the consumer is getting the most satisfaction possible given their budget constraint.

Figure 21-18 -Refer to Figure 21-18. Given the Budget Constraint Depicted in Constraint