Question: Complete the following table and answer the questions below: Instructions: Enter your answers as a whole number. Units Total Marginal Consumed Utility Utility 0 1

Complete the following table and answer the questions below: Instructions: Enter your answers as a whole number. Units Total Marginal Consumed Utility Utility 0 1 10 10 2 8 3 25 4 30 5 3 34 a. At which rate is total utility increasing: a constant rate, a decreasing rate, or an increasing rate? How do you know? O An increasing rate, because marginal utility is declining. A decreasing rate, because marginal utility is declining O A constant rate, because marginal utility is increasing. b. True or False. "A rational consumer will purchase only 1 unit of the product represented by these data, because that amount maximizes marginal utility." O False, because rational consumers maximize total utility. True, because rational consumers maximize marginal utility. O False, because marginal utility is constant after consuming the first unit. True, because marginal utility falls after consuming the first unit. c. True or False. "It is possible that a rational consumer will not purchase any units of the product represented by these data." False, because this product's price could be low relative to the first unit's total utility. O False, because this product's price could be low relative to the first unit's marginal utility. O True, because this product's price could be high relative to the first unit's marginal utility. True, because this product's price could be high relative to the first unit's total utility
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