Economics 9708 · AS & A Level · Utility and rational consumer behaviour

Utility and rational consumer behaviour — practice question

The table provides data on an individual’s consumption of good X. price of good X $10 quantity demanded (units) 25 marginal utility (utils) 30. The diagram illustrates the marginal utility that a consumer obtains from consuming good Y. If the price of good X does not change, by what amount will the individual’s consumption of good Y rise when the price drops from $30 to $20?

  • A5 units
  • B10 units
  • C20 units
  • D30 units

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