A rational consumer decides how many units of two products Y and Z to buy using a fixed income. MUY and MUZ refer to the increases in total utility that would occur if the consumer bought one extra unit of each product. PY and PZ are the existing prices of the two products. Which result would show consumer equilibrium?
- Awhen MUY = MUZ
- Bwhen MUY × PY = MUZ × PZ
- Cwhen MUY × PZ = MUZ × PY
- Dit is not possible to tell from the information available