Rational utility maximizing consumers tend to:
A)buy the same bundle of goods regardless of the prices charged.
B)choose the same bundle of goods regardless of their income.
C)change their consumption choices when either prices or income changes.
D)change their consumption choices only when both prices and income change simultaneously.

Question

Quizplus · Accepted Answer

Rational utility maximizing consumers adjust their consumption choices in response to changes in prices or income to maximize their utility. This means they will change what they buy if the price of goods changes or if their income changes, seeking the best combination of goods that provides the most satisfaction within their budget constraints.

Rational Utility Maximizing Consumers Tend To