Question: A careful reader of this book will have read footnotes 2 and 5 in this chapter. Explain why these can be summarized by the commonsense
A careful reader of this book will have read footnotes 2 and 5 in this chapter. Explain why these can be summarized by the commonsense idea that a person is maximizing his or her utility only if getting an extra dollar to spend would provide the same amount of extra utility no matter which good he or she chooses to spend it on?
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An individual has 200 to spend on two goods good X and good Y Price of good X and good Y are P x 5 a... View full answer
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