Author Question: The consumption bundle that maximizes a consumer's satisfaction given his income is located: A) ... (Read 89 times)

Caiter2013 · **on:** Jun 29, 2018

The consumption bundle that maximizes a consumer's satisfaction given his income is located:

A) at the point of tangency of the consumer's demand curve and indifference curve.
B) at any point of intersection of the consumer's demand curve and indifference curves.
C) at the point of tangency of the consumer's budget constraint and indifference curve.
D) at any point of intersection of the consumer's demand curve and indifference curves.

Question 2

According to your text, who among the following have a comparative advantage in providing information that reduce transaction costs?

A) The consumer
B) The bureaucrat
C) The middleman
D) The career politician