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Answer the question based on the table below showing the marginal utility schedules for product X and
product Y for a hypothetical consumer. The price of product X is $4 and the price of product Y is $2. The
income of the consumer is $20.

Product X

Product Y

Quantity

MUx

Quantity

MUy

 

--

 

--

1

32

1

24

2

28

2

20

3

24

3

16

4

20

4

12

5

16

5

8

Refer to the above table. If the consumer buys product X or product Y one unit at a time, which of the following
will the consumer's first two purchases be?

a.) A first unit of X followed by a first unit of Y

b.) A first unit of X followed by a second unit of X

c.) A first unit of Y followed by a first unit of X

d.) A first unit of Y followed by a second unit of Y

I think the right answer is B.) ???

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 Kritika Krishnakumar
Kritika KrishnakumarLv10
28 Sep 2019

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