At the consumer's optimum the
A) budget constraint will have a slope of MUx/Px.
B) slope of the indifference curve is equal to the slope of the budget constraint.
C) indifference curve will intersect the budget constraint at the midpoint of the budget constraint.
D) Both b and c are correct.
Correct Answer:
Verified
Q156: When a consumer is purchasing the best
Q157: When a consumer is purchasing the best
Q158: Figure 21-20
The following graph illustrates a representative
Q159: Figure 21-19 Q160: A consumer chooses an optimal consumption point Q162: A consumer chooses an optimal consumption point Q163: An optimizing consumer will select the consumption Q164: An optimizing consumer will select a consumption Q165: A consumer chooses an optimal consumption point Q166: When the indifference curve is tangent to
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