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A consumer buys only jellybeans and wrinkle remover and the more-(Answered)

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Question

A consumer buys only jellybeans and wrinkle remover and the more of any one he buys, the

lower the marginal utility of that good. In spending all his income, his marginal utility of a pound

of jellybeans is 12 and his marginal utility of a jar of wrinkle remover is 15. The price of

jellybeans is $8 per pound and the price of wrinkle remover is $11 per jar. For maximum

satisfaction, this consumer should

a) buy more wrinkle remover and fewer jellybeans.

b) by less wrinkle remover and more jellybeans.

c) buy more wrinkle remover and the same quantity of jellybeans.

d) buy the same quantity of wrinkle remover and more jellybeans.

 

Paper#9209106 | Written in 27-Jul-2016

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